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Business of Kyrgyzstan called for active pointing to shortcomings in economy

Prime Minister of Kyrgyzstan Mukhammedkaly Abylgaziev held a meeting of the Council on Business Development and Investments under the Government. Press service of the Cabinet reported.

Mukhammedkaly Abylgaziev stressed that five out of eight decisions of the previous meeting of the Council held on January 29 have been executed. They are exclusion of unreasonable requirements when issuing permits to telecom operators and the timing of issue of technical opinions to mining companies in export of gold ore.

The decision on the use of virtual cash registers, seizure and disposal of food products that do not meet technical requirements, and etc. are at the stage of execution.

«This suggests that we are taking effective measures to develop business, improve the business climate and attract investment. Some issues have not been resolved over the years,» the Prime Minister said and urged the business community to more actively point to flaws.

At the same time, he told that the state authorities were delaying a decision on the development strategy for the construction industry.

«The absence of a strategic document and a systematic approach entailed legislative contradictions and conflicts over land plots for construction,» said Mukhammedkaly Abylgaziev.

He also touched upon the green economy topic, noting the lack of mechanisms for implementation of the policy of energy saving at buildings, a systematic approach to the maintenance of housing and the safety of housing stock.

Relevant state bodies do not pay enough attention to improving the situation in the urban planning sphere.

Mukhammedkaly Abylgaziev
Participants of the meeting addressed the issue of measures to simplify the procedure for refunding the value added tax (VAT) for exporters. It was noted that domestic export oriented enterprises cannot receive it, which reduces their competitiveness, increases the trade balance deficit and reduces production.

«Without solution of this problem, plans for the development of regions and creation of new industries and jobs there are not feasible. The impossibility of obtaining VAT offset for exporters is a serious limitation when making investment decisions. It is necessary to make proposals to solve this problem in the interests of the state and business,» the head of government stressed.

The business community has proposed expansion of the simplified VAT refund procedure for bona fide export oriented companies and returning current tax arrears.

Mukhammedkaly Abylgaziev outlined the need to bring to the meeting only those issues that were not solved by government bodies. He added that strict measures should be taken against managers who do not ensure execution of the decisions.