W / H and Kyrgyzstan is the leading exporter of HEP to Kazakhstan & Uzbekistan. Kyrgyzstan has vast water resources originating from its mountain rivers, which are currently used at a capacity of about 10 per cent. Hydroelectric energy accounts for 20 per cent of the country s total exports. With the rapidly increasing energy needs of neighbouring countries, this sector offers opportunities for investment. There are untapped gold deposits, coal, aluminum, copper, tungsten, uranium, mercury, tin, marble, granite and salt. Today Kyrgyzstan ranks third world-wide in mercury production, contributing 20% ??of the overall volume in the world. Kyrgyzstan is the only one country who possesses ferrous ore deposits in Central Asia. & gas resources are concentrated in the southern part of the republic. They include five oil deposits, two oil & gas deposits and one gas condensate deposit.countries, Kazakhstan, Kyrgyzstan and Uzbekistan, are heavily dependent on each other for their energy needs and for sharing water resources. For instance, the Dostyk canal, which provides water for the irrigation of cotton crops, is divided between all three as well as Tajikistan. The Kyrgyz Ministry of Agriculture and Water Resources signed an agreement with Kazakhstan in September 2000 for joint use of Kyrgyz hydroelectric facilities and to cover any costs incurred as a result of water used by each side. The agreement will come into effect in 2001. Kyrgyzstan, Kazakhstan and Uzbekistan also have an agreement on the joint use of water and power resources on the Naryn-Syrdarya river system and its cascades. Volumes of power and commercial details of the agreement are updated on an annual basis. Kazakhstan s Energy Grid Operating Company has commissioned a bridge reactor with a total capacity of 180 MW at the Zhambyl - 500 substation. It will link up the Tashkent-Zhambyl-Shymkent (Kazakhstan) - Bishkek intersystem grids, ensuring reliable electricity supplies between the neighbouring countries. In October 2000 Kyrgyzstan and Uzbekistan made a gas for water agreement, under which Uzbekistan will deliver 700 million cubic metres of gas to Kyrgyzstan. Kyrgyzstan will make 50 per cent of the payment by providing Uzbekistan with water for 2.2 billion kWh of electricity production.
Conclusion
Kyrgyz investment climate remained sufficiently attractive, enhanced by the liberal tax, exchange and customs legislations, not to mention all the advantages associated with WTO membership. The government prioritizes the development of small and medium enterprises (SMEs), and is further improving the conditions for all businesses by decreasing the average tax burden.2006, the country achieved considerable success in attracting foreign direct investments. FDI from CIS countries increased more than threefold to USD 157 million. An additional USD 178 million was attracted from other countries, such as Germany (15.9%) and United Kingdom (11.3%). Kyrgyz enterprises draw substantial benefits from cooperation with foreign direct investors, who introduce advanced technologies, new equipment and quality operating standards to Kyrgyz businesses. Prime example of such international cooperation include the Kyrgyz-Canadian gold-mining company «Kumtor», «Gazpromneft Asia», Kant cement-slate industrial complex »,« Interglass »glass production factory, cellular communications operators« Sky Mobil...
