President: Regional development remains one of priorities of state policy

Bishkek, Feb.12, 2020. /Kabar/. At the second meeting of the Committee for Industry and Entrepreneurship Development, President of the Kyrgyz Republic Sooronbay Jeenbekov emphasized regional development will remain one of the priority areas of state policy again this year.

The President noted over the past years, a number of tasks to support entrepreneurship in rural areas have been resolved.

Thus, tangible tax exemptions have been provided. The value added tax for enterprises processing rural products has been reduced by 80%

"The value added tax for enterprises processing rural products has been reduced by 80%. For agricultural cooperatives, trade and logistics centers, machine and tractor stations, the property tax was reduced by 50%, and they were fully exempt from income tax. Production enterprises in rural areas have been exempted from four types of tax for the five-year period- income tax, profit tax, land tax and property tax.

Income tax has been reduced for light industry enterprises with over 50 employees. If earlier each employee paid on average KGS 1500 (about $ 21), now this type of tax will be an average of KGS 400 (about $ 6).

For the same enterprises, social payments were reduced from 27% to 12%. A number of tasks to reduce administrative barriers have been completed,” the Kyrgyz President added.

He also noted a two-year temporary moratorium on inspecting businesses was declared until January 2021.

The second meeting of the Committee for Industry and Entrepreneurship Development was held today in Bishkek with the participation of President Sooronbay Jeenbekov.

The meeting participants considered three issues: the state of investment protection and observance of business entities’ rights, legal aspects of decriminalization of economic crimes, and the implementation of the legislation on protection of entrepreneurship by law enforcement agencies.

The event was attended by heads of state bodies and representatives of business community of the country.

The first meeting of the Committee for Industry and Entrepreneurship Development under the chairmanship of the Kyrgyz President was held on June 24, 2019.