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Business Enlightenment Caravan Outcomes Presented to the State Tax Service
- Friday, 18 April 2025
On April 18, 2025, the central office of the State Tax Service under the Ministry of Finance of the Kyrgyz Republic hosted a meeting to present the outcomes of the nationwide information and consultation campaign “Business Enlightenment Caravan.” The meeting was initiated by the Secretariat of the Investment Council under the Cabinet of Ministers of the Kyrgyz Republic, led by Uluk Kydyrbaev, and the JIA Business Association, represented by its Chief Legal Officer Bakytbek Sartmametov. From the State Tax Service, Deputy Chairman Kubanychbek Ysabekov and heads of relevant departments participated.
The key objective of the meeting was to summarize the results of the campaign, which has been taking place from March 25 to April 22, 2025, in eight cities across the country. The Caravan reached all regions of the Kyrgyz Republic and gathered over 2,000 participants, including entrepreneurs, government representatives, business associations, and the expert community.
Throughout the Caravan, a wide range of issues concerning entrepreneurs was discussed—from taxation and labor legislation to technical aspects of document management and the implementation of digital tools. Representatives of the State Tax Service were actively involved in all sessions, providing explanations and responding to questions from entrepreneurs.
Questions, concerns, and suggestions from business participants were systematically recorded. Based on this input, a consolidated summary was prepared, containing key proposals for improving tax administration and enforcement practices. This document was officially presented to the State Tax Service during the meeting.
Among the proposals raised were both systemic suggestions and specific examples. One such example included recommendations to revise the territorial restrictions on patents—particularly for services like videography, which require frequent travel across regions. Another proposal was to develop a new method for calculating patent fees by considering both the area of the retail space and the nature of the goods being sold.
During the meeting, the State Tax Service confirmed that over 80% of the received proposals would be taken into account in the agency’s further work. All parties expressed their readiness to continue cooperation in order to improve the efficiency of tax administration and create a more favorable environment for entrepreneurship.
The campaign is organized by the JIA Business Association and the Secretariat of the Investment Council under the Cabinet of Ministers of the Kyrgyz Republic, with the support of the Plenipotentiary Representatives of the President in the regions, the Ministry of Economy and Commerce, the General Prosecutor’s Office, the Ministry of Labor, Social Security and Migration, the State Tax Service under the Ministry of Finance, the Center for Public-Private Partnership under NAIA, the Department of Tourism under the Ministry of Economy and Commerce, the Land and Water Oversight Service under the Ministry of Water Resources, Agriculture and Processing Industry, the EBRD, the OSCE Program Office, UNDP, and the Center for Business Support.
Secretariat of the Investment Council and Department of Tourism Enhance Cooperation in Tourism Development and Investment Attraction
- Friday, 18 April 2025
On April 17, Uluk Kydyrbaev, Head of the Secretariat of the Investment Council under the Cabinet of Ministers of the Kyrgyz Republic, met with Erdenet Kasymov, Director of the Department of Tourism under the Ministry of Economy and Commerce of the Kyrgyz Republic.
During the meeting, the parties reviewed the activities of their respective organizations, discussed key areas of interaction, and identified priority sectors for collaboration aimed at revitalizing the country's tourism potential and attracting private investments into the sector.
Uluk Kydyrbaev outlined the primary objectives and tools of the Investment Council, emphasizing the importance of institutional support for investment projects in the tourism sector, particularly at the regional level. Special attention was given to the development of tourism infrastructure in regions with high tourist interest, where challenges such as insufficient hotel capacity and a shortage of qualified personnel persist.
Erdenet Kasymov highlighted that, within the framework of the National Program for Sustainable Tourism Development of the Kyrgyz Republic for 2025–2030, a series of initiatives are planned to promote environmentally friendly solutions and the development of "green" tourism. These include the development of electric-powered water transport on Issyk-Kul Lake, the exploration of geopark potentials (e.g., Madygen), and the creation of an annual national calendar of tourist events to facilitate more effective trip planning for both domestic and international tourists.
As a result of the meeting, the parties agreed to establish systematic cooperation, including through the Investment Council's platform for attracting investors, and to implement joint initiatives aimed at developing tourism in small and border towns.
“Business Enlightenment Caravan” in Kara-Balta: Open Dialogue with Entrepreneurs Brings Together Over 250 Participants
- Tuesday, 15 April 2025
On April 15, 2025, an informational and consultative meeting was held at the House of Culture in the city of Kara-Balta as part of the nationwide “Business Enlightenment Caravan” campaign. The format of direct dialogue between government representatives and entrepreneurs once again proved its relevance and demand: over 250 participants attended, including representatives of small and medium-sized businesses, local authorities, and business associations.
The discussion covered a wide range of topics, from specifics of tax administration and the use of cash register equipment to insurance mechanisms and the prospects of transitioning to a patent-based taxation system.
One of the key topics addressed was the system of mandatory insurance. Representatives of insurance organizations explained that the insured amounts vary depending on the category of property: for residential housing in rural areas, the coverage limit is KGS 500,000, and in urban areas — up to KGS 1 million. For inventory and goods, the amount is calculated based on turnover, with a maximum limit of KGS 700,000. Clarifications were also provided regarding passenger insurance. As for agricultural insurance, it was noted that such a product is not yet available, but work is underway in collaboration with relevant associations to introduce it.
Participants paid significant attention to the use of electronic consignment notes (ETTN) and electronic invoices (ESF). Starting May 1, 2025, ESFs must be issued no later than five days after the delivery of goods (excluding retail sales to individuals). Tax authorities reminded that the use of ETTNs has been canceled for most goods and also noted the reinstatement of the patent-based taxation system for small and medium-sized enterprises. The patent rates will be determined based on the entrepreneur’s income and regional specifics. Additional information will be published in due course.
Practical concerns were also raised regarding difficulties in purchasing from suppliers who do not issue ESFs, particularly at large markets. It was explained that this issue is known and that possible response measures are being considered. While some matters remain under review, specialists assured that all feedback from entrepreneurs is being recorded and will be forwarded to the relevant authorities for further consideration.
Parallel to the panel sessions, entrepreneurs could receive individual consultations in the theater's foyer. Consultation zones were organized with representatives from development funds, state banks, and insurance companies.
The next stops of the Caravan: Bishkek (date and time will be announced).
The campaign is organized by the JIA Business Association and the Secretariat of the Investment Council under the Cabinet of Ministers of the Kyrgyz Republic, with the support of the Plenipotentiary Representatives of the President in the regions, the Ministry of Economy and Commerce, the General Prosecutor’s Office, the Ministry of Labor, Social Security and Migration, the State Tax Service under the Ministry of Finance, the Center for Public-Private Partnership under NAIA, the Department of Tourism under the Ministry of Economy and Commerce, the Land and Water Oversight Service under the Ministry of Water Resources, Agriculture and Processing Industry, the EBRD, the OSCE Program Office, UNDP, and the Center for Business Support.
“Business Enlightenment Caravan” in Tokmok gathered 300 entrepreneurs
- Thursday, 10 April 2025
On April 10, 2025, the Tokmok City Hall hosted an informational and consultative meeting as part of the national campaign "Business Enlightenment Caravan." The open dialogue format between government officials and entrepreneurs once again proved its relevance: around 300 participants took part in the event, including representatives of local authorities, small and medium-sized businesses, and business associations.
A wide range of topics was discussed — from tax administration and regulatory changes to social benefits and subleasing at markets. Entrepreneurs raised the issue of the number of inspection bodies. A representative of a business association noted:
"Our association was established in 2021 when a wave of inspections and fines overwhelmed businesses. We understand the importance of oversight, but perhaps it's time to reconsider the number of inspecting bodies. The simpler and clearer the rules, the more transparent the economy becomes."
In response, government representatives reminded participants that the number of supervisory agencies was previously reduced from 21 to 10, and the current figure (17) is due to structural changes in the government.
"We are working on optimization. There are proposals and practices for merging functions, and options for reducing the number and frequency of inspections are under consideration," organizers explained.
Tax-related issues were among the most discussed. Clarifications were provided regarding the transition from the unified tax to the patent system, rules on subleasing in markets, garbage tax payments, and the mechanism of voluntary business legalization.
"We've moved away from punitive practices — prevention is now the priority. Where there were once fines, we now issue reminders and guidance," said representatives of the tax authorities.
Important social issues were also addressed: payments to families with persons with disabilities; the cancellation of the vehicle tax; pension entitlements for those caring for people with disabilities; and the possibility of writing off tax debts accrued before January 1, 2022, if no court cases are involved.
The issue of issuing fiscal documents at markets and retail outlets also came up:
"Goods are being brought here from large markets in Bishkek, but invoices are often not issued. This creates unfair competition. If we don't resolve this collectively, the shadow market will only grow," entrepreneurs emphasized.
Government bodies expressed their readiness for continued cooperation, encouraging the business community not to shy away from voicing their concerns directly.
"If there are unscrupulous tenants who avoid taxes or refuse to pay contributions to housing cooperatives — report it. Let’s work together," urged representatives of the prosecutor’s office and local authorities.
It was also announced that Tokmok residents can contact the city prosecutor’s office for any issues related to protecting entrepreneurs’ rights at the service number: 755 222339.
The “Business Education Caravan” campaign continues: after its stop in Chuy region, meetings will take place in other parts of the country, bringing together the efforts of the state and business to foster a sustainable and transparent business environment.
Parallel to the panel sessions, entrepreneurs could receive individual consultations in the theater's foyer. Consultation zones were organized with representatives from development funds, state banks, and insurance companies.
The next stops of the Caravan: Kara-Balta — April 15, Bishkek — April 16.
The campaign is organized by the JIA Business Association and the Secretariat of the Investment Council under the Cabinet of Ministers of the Kyrgyz Republic, with the support of the Plenipotentiary Representatives of the President in the regions, the Ministry of Economy and Commerce, the General Prosecutor’s Office, the Ministry of Labor, Social Security and Migration, the State Tax Service under the Ministry of Finance, the Center for Public-Private Partnership under NAIA, the Department of Tourism under the Ministry of Economy and Commerce, the Land and Water Oversight Service under the Ministry of Water Resources, Agriculture and Processing Industry, the EBRD, the OSCE Program Office, UNDP, and the Center for Business Support..
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