The President of Kyrgyzstan signed the law «On the special financial investment territory (SFIT) Tamchy». The document officially establishes a zone with special tax and legal conditions in Issyk-Kul region, designed primarily for foreign investors. The law was published by Erkin-Too newspaper.
According to the law, residents of Tamchy are exempt from all taxes for 49 years. They will be able to operate according to international financial standards, including asset management, providing insurance, banking, brokerage and legal services, engaging in fintech, Islamic finance and gambling.
The territory will be managed by a private company authorized by the Cabinet of Ministers. A separate arbitration center based on English law will be created to resolve disputes. A simplified visa regime, the possibility of free settlement in any currency, including cryptocurrency, and a free customs zone regime within the EAEU are also provided.
Certain activities are explicitly banned: weapons manufacturing, alcohol and tobacco production, and mineral extraction.
The law on the special financial investment territory Tamchy provides for the introduction of a unique management model, completely independent from the state bodies of the Kyrgyz Republic. This is a territory with its own Council, regulator and even a court, whose decisions cannot be appealed in the courts of the Kyrgyz Republic.
The highest authority in the territory is the Council, which includes representatives of the Cabinet of Ministers and investors.
The composition is approved by the government, but the Council itself acts independently. Its chairperson and members are appointed for a five-year term with the possibility of re-election an unlimited number of times.
The Council determines the strategic development of the territory, manages the budget, monitors the efficiency of expenses, and adopts key internal procedures.
Operational management is carried out by a management company. Its director is appointed by the Chairperson of the Council and reports to him or her. The company is responsible for promoting the territory as an international financial and tourist center, for security, licensing of entities, infrastructure and interaction with other international sites.
It also has the authority to appeal to the president with a proposal to change the boundaries of the SFIT and approve the annual budget.
A separate registrar operates on the territory, which maintains a register of participants and determines the procedure for registration of entities. At the same time, participation of foreign citizens and companies is allowed, and the forms of registration and doing business differ from the national ones.
The financial regulator of SFIT is also independent from the National Bank of the Kyrgyz Republic. It regulates and licenses activities in the financial sector, including virtual assets, exchanges and cryptobanks. These institutions are not subject to the legislation on banks, the stock market and digital assets — their own SFIT acts are applied.
An international dispute resolution center is being created on the territory, consisting of arbitration and a dispute committee.
This is a completely autonomous structure that is not part of the judicial system of the Kyrgyz Republic. Its decisions are binding and cannot be appealed in any court of Kyrgyzstan.
The court will consider civil and commercial disputes between the participants of the SFIT, management bodies and even any other cases, if the parties voluntarily transfer the dispute to its jurisdiction. Moreover, the center has the exclusive right to interpret the law on the SFIT and acts issued within its framework.
As the document says, the management bodies of SFIT Tamchy are not accountable to government agencies and are independent from the state. None of them can be declared bankrupt, and the Kyrgyz Republic itself is not liable for their obligations.
Thus, the SFIT Tamchy is formed as an autonomous structure with its own legislative mechanisms, budget, judicial system and financial institutions. The project has significant potential to influence the economic development of the Kyrgyz Republic.
