Kyrgyz Republic Investment Climate

completed

This Project is designed to strengthen the investment climate for investors and businesses, with a focus on the agribusiness sector. The Project will work directly with the sector's key regulators to improve the quality of their implementation of existing regulation while preparing them to implement a modern approach to business regulation. The project will also work with the Government of the Kyrgyz Republic (GoKR) to revise the investment policy framework and improve conditions for investors. Objective 1: Improvement of business environment with focus on agribusiness sector a) The Project will continue supporting the Government in its overall inspections reform implementation centering on risk-based planning, with a focus on achieving better implementation, improved governance, and stronger sustainability. b) The Project will also work with food regulatory bodies to build their capacity to implement elements of modern food safety control. Objective 2: To improve the investment policy framework, in particular in the areas of investment entry, protection and transparency/governance of investment incentives: a) The GoKR has established a working group which will review the Law on Investment and develop regulations, and IFC will help this group to ensure adherence to international best practice. b) Incentives - both fiscal and behavioral - are currently poorly governed and not fully aligned with the strategic development objectives of the Government. The Project may support the establishment of a registry of all the existing incentives provided to investors thus increasing transparency.