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“Business Enlightenment Caravan” Continues its Journey in Osh

Wednesday, 26 March 2025 17:25

On March 26, 2025, the nationwide informational campaign “Business Enlightenment Caravan” continued its work in the city of Osh. The event took place at Osh State University and brought together entrepreneurs, government officials, and experts.

The campaign aims to clarify changes in legislation, new requirements in tax and labor regulations, and inform the business community about available support measures for small and medium-sized enterprises (SMEs), tourism development opportunities, and public-private partnership tools.

The event opened with welcoming remarks from representatives of the JIA Business Association, the Secretariat of the Investment Council under the Cabinet of Ministers of the Kyrgyz Republic, the Plenipotentiary Representative of the President in Osh region, the State Tax Service, and the General Prosecutor’s Office.

During the first part of the program, participants were briefed on the latest changes in business regulation, including the updated Labor Code, mechanisms for mandatory insurance, and procedures for inspections conducted by supervisory authorities. Topics such as licensing, the role of the Prosecutor’s Office in protecting entrepreneurs’ rights, and the nuances of tax reporting were also discussed.

Participants raised concerns about improving access to insurance payments. One entrepreneur voiced a proposal to “simplify the process of receiving insurance compensation just as the process of making payments is simple.” In response, it was explained that insurance payouts are guaranteed if a complete set of documents is submitted.

Numerous questions were asked regarding the application of the unified tax, submission of “zero” reports, and taxation in the service and trade sectors. Representatives of the State Tax Service reported that they are considering canceling the 4% rate for cash transactions while keeping a 2% rate regardless of the payment method. It was also clarified that “if there is no activity, a ‘zero’ report is not required, but any changes must be followed by a clarification report.”

Other issues included the use of ETTN (Electronic Consignment Note), hiring practices in the sewing industry, and challenges of working with suppliers who lack proper documentation. Participants were advised to “avoid doing business with farmers who cannot provide an invoice, even if they are exempt from taxes.”

The tourism panel session focused on financing mechanisms. A representative of “Rayan Resort Sary-Oy” shared a practical tip: “We started small – we rented land for one year and set up yurts, while simultaneously applying for long-term permits. You can start your business without waiting for permanent land rights.” There was also a proposal to organize a separate meeting with tourism business representatives to explore ways to promote Osh’s unique tourism potential.

The second part of the event highlighted the role of local self-government bodies in supporting entrepreneurship and implementing development projects. A dedicated session addressed tourism development with a regional perspective. Government officials explained how entrepreneurs can access financing through regional development funds and outlined current SME support programs.

Representatives of the business community expressed a strong interest in launching the Regional Investment Council in Osh region. They view it as an essential platform for addressing local business issues and attracting investment, and they eagerly await the formation and operation of its secretariat.

In parallel with the panel discussions, entrepreneurs had the opportunity to receive individual consultations in designated areas set up in the venue’s lobby. These consultation zones included representatives from development funds, state banks, and insurance companies.

The event’s format – expert presentations, Q&A sessions, and one-on-one meetings – enabled participants to gain clarity on recent legislative changes and highlight the real challenges faced by local businesses.

The upcoming stops of the Caravan are: Batken – March 27, Naryn – April 1, Karakol – April 3, Talas – April 8, Tokmok – April 10, Kara-Balta – April 15, and 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.