Tamchy Special Financial Investment Zone Officially Launched in Kyrgyzstan

JAKARTA - The President of the Republic of Kyrgyzstan, Sadyr Japarov, officially launched the Tamchy Special Financial Investment Territory (SFIT), a new international financial jurisdiction located on the banks of Lake Issyk-Kul. At the launch ceremony, companies from South Korea, the United Arab Emirates, Hong Kong, Switzerland, and Kazakhstan joined as the first residents of Tamchy SFIT. A total of twenty companies from various countries are in the process of obtaining resident status in Tamchy SFIT.

The launch was marked by a symbol by President Japarov who activated a geotag-shaped button, as a marker that Tamchy SFIT is officially present on the map of the global financial center.

"Global economic changes are driving the need for new business centers that are able to present international standards, freedom to innovate, and certainty for long-term investment. Tamchy SFIT is a national project and our answer to the needs of global business actors. We built this financial center from the beginning with an independent judicial system, modern regulators, and consistent and unchanging regulations that follow the trend for a moment. I believe that Tamchy SFIT will open a new chapter in the history of Kyrgyzstan," said President Sadyr Japarov, quoted Tuesday, July 7.

Tamchy SFIT operates on the basis of the English Common Law principle and is supported by an independent financial regulator, the International Dispute Resolution Centre, as well as a single-window digital registrar. The area also offers a special tax regime in the form of a 0 percent tax rate for corporate profits, dividends, capital gains, and VAT for 49 years, as well as providing flexibility in foreign ownership up to 100% and freedom in the repatriation of profits.

With an area of around 6,000 hectares, Tamchy SFIT has a fully operational business center, while the construction of hotels and residential areas is still ongoing. The location is also within walking distance of the Issyk-Kul International Airport.

"A world-class financial center is built by understanding the needs of international investors and business actors. Tamchy SFIT offers a reliable, flexible, and ready platform to support investment for companies that want to grow sustainably. This area is designed based on the best international standards, based on English Common Law, and has a strategic position at the intersection of five member countries of the Eurasian Economic Union (EAEU) and the Eurasian corridor. Tamchy SFIT presents a neutral, independent jurisdiction, and is designed for long-term sustainability," said Ali Ijaz Ahmad, First Deputy Chairman of the Tamchy SFIT Management Council.

One of the first companies to decide to operate in Tamchy SFIT is Serim. Serim CEO, Seo Dong Hyun, said that legal certainty and regulatory credibility were the main factors in his investment decision.

"Over the past thirty years of investing in the semiconductor, high technology, and energy industries, I have come to understand that legal certainty and trust in the regulatory system are the foundation for long-term investment. These principles are the basis for the establishment of Tamchy SFIT. What is very striking is that a project of this magnitude can be realized in just one year, faster than any jurisdiction I know. Today, I registered my family's holding company here. For me, this is not an investment for years, but for future generations," said Seo.

Until 2035, Tamchy SFIT targets to attract around 4,000 resident companies and create more than 10,000 jobs. Its contribution to the Kyrgyzstani economy during the period 2026-2035 is estimated at around 20 billion US dollars.