President of Kyrgyzstan Sadyr Japarov, at a meeting with representatives of the Chinese business community, invited them to take part in the implementation of priority projects in Kyrgyzstan. Press service of the head of state reported.
Sadyr Japarov told Chinese entrepreneurs that the country has a great investment potential, the necessary conditions and protection of investors by the state have been created. The republic is pleased to have a direct dialogue with representatives of advanced business who are interested in strengthening trade and investment cooperation between the states.
«I am glad to announce that Kyrgyzstan — China relations have reached a new qualitative and meaningful level — a comprehensive strategic partnership. We signed a joint declaration of Kyrgyzstan and China on the establishment of a comprehensive strategic partnership in a new era. A large list of signed documents stresses the fruitfulness and effectiveness of the visit. In addition to the aforementioned joint declaration, about 20 agreements, memorandums and protocols have been signed. These documents cover almost all spheres of bilateral relations, including trade and economic cooperation,» the President said.
He noted that a wide range of issues of bilateral partnership was discussed during the last meeting with Chinese President Xi Jinping. Particular emphasis is placed on the development of trade and economic ties. Consensus was reached on all issues.
The Chinese side expressed their readiness to facilitate implementation of infrastructure and investment projects in Kyrgyzstan.
Thus, it can be assumed that political support from the top political leadership of the Kyrgyz Republic and the PRC is provided.
Sadyr Japarov stressed that Kyrgyzstan is interested in implementation of joint projects aimed at expanding cooperation in the field of transport, communications, energy, construction, agriculture, tourism and other sectors of mutual interest. He noted that the Kyrgyz-Chinese Intergovernmental Commission on Trade and Economic Cooperation and the coordination group Kyrgyzstan — XUAR PRC play the key role in the development of bilateral trade, economic relations and investment interaction. Meetings of these mechanisms were held in 2022. As a result, a number of documents were adopted.
Speaking about the state policy in the field of foreign investments, their protection and guarantees, the president said that the republic pursues the most liberal, preferential investment policy in the CIS. The Kyrgyz Republic is doing its best to create a favorable investment climate and business environment for foreign enterprises, investors and entrepreneurs to do business and implement joint economic projects.
He noted that the legislation on foreign investment, primarily in the field of protecting the interests of investors, complies with international standards. Investments in the territory of Kyrgyzstan enjoy full and unconditional legal protection. In addition, an investment visa has been introduced. Visas of the investment category are issued for up to five years in case of contribution to the country’s economy of 10 million soms and for up to 10 years — for 20 million.
Sadyr Japarov believes that all conditions have been created between the two states for the development of economic cooperation.
«There is a bilateral agreement between the countries on mutual encouragement and protection of investments. It provides Chinese companies with favorable conditions for investing in the Kyrgyz Republic. The current treaty on avoiding double taxation allows Chinese businesses to invest in our country being aware that they will only be taxed once. The Kyrgyz side welcomes and invites Chinese companies to take part in doing business in the Kyrgyz Republic,» he said.
The head of state stressed that one of the priorities in Kyrgyzstan is the development of the energy sector, as the country is rich in hydropower resources.
He invited foreign, including Chinese, partners to take part in the implementation of a number of large projects for the construction of hydroelectric power stations. In case of interest, the Kyrgyz side is ready to consider proposals and mechanisms for cooperation in the implementation of the project for the construction of Kambarata HPP 1.
Sadyr Japarov especially focused on the fact that the country is constantly improving the legislative framework to improve the investment climate and attract investors for the development of renewable energy sources. State electrical networks require modernization and investment, as they are based on the infrastructure of the Soviet period. The country is currently implementing projects to upgrade substations, power lines and others.
Chinese companies are invited to participate in the renovation of distribution networks, replacement of substations and other projects.
«We are aware of the increased interest of Chinese enterprises in China — Kyrgyzstan — Uzbekistan railway construction project. It is an important regional project. The new railway route will become the southern branch of the Eurasian continental bridge and will open access to the markets of Southeast, West Asia and the Middle East. It will be able to ensure the delivery of cargo from China to the Kyrgyz Republic, as well as to the countries of Central Asia and the Middle East, including Turkey and further to the European Union. The project will increase competitiveness in the international transit market by reducing the distance and time of cargo delivery. Its implementation will have an overall positive social and economic effect for the states of the region,» the President concluded.
During the meeting, representatives of the Chinese business community were interested in opportunities for investing in various sectors of the Kyrgyz economy. They expressed their interest in enhancing partnership and implementation of joint projects with the country. Representatives of large Chinese companies in the areas of road and bridge construction, railways, energy, transport, communications, information technology, education and tourism participated in the meeting with Sadyr Japarov.
