Simplified procedures for running business and attracting investments, tax cuts and support for small and medium-sized enterprises, all these measures are included in legislative improvements that will come into force in Kazakhstan in January. Experts emphasize that all amendments are primarily aimed at strengthening economic growth and developing entrepreneurship in the country. Thus, a new tool, the Investment Agreement, was introduced to attract foreign investment. Under this document, investors will be exempt from VAT, corporate income tax and property land tax for up to 10 years. At the same time, it is planned to hold optimization of procedures and improve public-private partnership mechanisms. Also, starting this year, investors, if necessary, can apply for three-year investment tax credits for corporate income tax and property tax. The loan would be interest-free, but, in case conditions are not fulfilled, a penalty will be charged.
“This is a very good practice, and it existed before. This will attract foreign investors to the Kazakh economy. Basically, it has existed before, now there are more preferences, namely investment renewal of core resources. The return of investments of up to 30 percent is a very necessary and timely measure for the maintenance and development of the economy. This is good for capital-intensive industries, especially for the agro-industrial sector. It is a very capital-intensive field, therefore the new measure will help to attract substantial funds for agriculture development,” emphasized the economist Arman Baiganov.
