e »,« Megacom » , «Fonex» and telephone operator «SaimaTelecom», as well as a host of others.aims to create a favorable investment climate and is making an effort to provide beneficial conditions to foster further investment. To this end, the country pursues policies aimed at reducing the inflation rate, providing profit tax incentives for companies with foreign investments as well as exemption from payment of VAT and taxes on the import of technological equipment and associated spare parts, and granting favorable terms for credits in foreign currencies received from foreign banks and credit institutions.foreign investment legislation guarantees protection for foreign investors from expropriation, nationalization, and similar actions. It also protects against bureaucratic delays within the Kyrgyz government structure. However, laws affecting business in Kyrgyzstan are not absolutely explicit and are not always implemented consistently. The interpretation of laws by different agencies can at times vary. the Kyrgyz Republic has experienced some political instability in recent months resulting in a lack of confidence from foreign investors, many protections available to potential foreign investors may be being overlooked. These protections afforded through existing legislation and bilateral protection treaties may offer investors increased security and the ability to bypass inconsistencies in the national legislation regime by providing a number of tools which can help to eliminate or minimize some of the risks of investing in the current political climate . (Investment Now, Journal, Protection of Investment in the Kyrgyz Republic, 2010).
Sources
1. Business Information Service for the Newly Independent States, «Kyrgyz Government takes foreign investment seriously», September 2001
2. Business Information Service for the Newly Independent States, «The Kyrgyz Republic: fiscal year 2004 country commercial guide», August 2003
. Crespo, Nuno and Maria Paula Fontoura, 2007. «Determinant Factors of FDI Spillovers - What do We Really Know?» World Development, Vol. 35, No. 3: 410-425.
. Department of Commerce, United States «Kyrgyz Republic: 2003 investment climate statement», August 2003
. Investment Profile, Business Forum, London, 2001.
. Investment Now, Journal, № 2 (19) 2010.
. Kyrgyzstan - A Jewel of Central Asia, 8, 2001 by Eric G. Postel and Yuri Nevenchanny.
. Romer, P, 1993. «Idea Gaps and Object Gaps in Economic Development.» Journal of Monetary Economics. »Vol. 32, No. 3: 543-573.
. State Committee of the Kyrgyz Republic on State Property and Direct Investments, Investment Guide 2002 (State Committee of the Kyrgyz Republic on State Property and Direct Investments: Bishkek, 2002).
. UN-ESCAP, «Country reports on investment climate: Kyrgyzstan» in «Foreign direct investment in Central Asian and Caucasian economies: policies and issues», Studies in Trade and Investment, No. 50, 2003 (ESCAP: Bangkok, 2003), pp. 136-177.
economic benefit investment business
