LEX Law Firm Supports Business Registration and Launch in the ‘Tamchy’ SFIT

LEX Law Firm is expanding its investment-project advisory practice and offers comprehensive legal support to companies and investors planning to operate in the ‘Tamchy’ Special Financial Investment Territory (‘Tamchy’ SFIT).

‘Tamchy’ SFIT: A New Regime for International Business in the Kyrgyz Republic

The ‘Tamchy’ SFIT was established by Law No. 136 of the Kyrgyz Republic dated 10 July 2025, “On the Tamchy Special Financial Investment Territory with a Special Legal Regime and Status”.

The Territory is being developed as a dedicated platform for investment, financial and other business activities under a special legal and regulatory framework.

One of the key features of the ‘Tamchy’ SFIT is the possibility of applying special legal instruments to certain matters, based on principles of the English legal system and other common-law jurisdictions.

Financial activities are subject to a separate regulatory and licensing framework, while the SFIT system also provides dedicated dispute-resolution mechanisms.

This model makes the ‘Tamchy SFIT particularly attractive for international projects where regulatory predictability, investment protection and a clear corporate structure are as important as tax considerations.

Why Investors Are Exploring the ‘Tamchy’ SFIT

For a foreign investor, the ‘Tamchy’ SFIT may offer opportunities beyond simply incorporating a company in the Kyrgyz Republic.

Depending on the objectives of the project, it may serve as a basis for establishing a regional holding structure, investment platform, financial company, fund, technology business or dedicated hub for international operations.

One of the most notable advantages of the ‘Tamchy’ SFIT is its special tax regime.

Under the conditions established by SFIT legislation, zero tax rates on corporate income, dividends, capital gains and VAT are provided for a period of up to 49 years.

The regime also provides for 100% foreign ownership of a company, the free use and conversion of currencies, and the movement and repatriation of capital and profits within the applicable legal framework.

This creates opportunities to establish internationally oriented corporate and investment structures in Kyrgyzstan, including in the following areas: [АВ1]

However, the availability of a preferential regime does not, by itself, mean that a particular project will automatically qualify for all of its benefits.

Such projects require careful consideration of corporate regulations, taxation, capital flows, banking requirements, licensing, ownership structures and investment protection at the same time.

For this reason, the project's legal architecture should be determined before capital is invested and operations begin – not after a regulatory or tax issue arises.

Company Registration Is Only the First Step

For an investor, the key question is not simply whether a company can be registered in the ‘Tamchy’ SFIT, but how the company and its operations should be structured to ensure that the special regime delivers its intended benefits for the particular business.

Before registration, it is important to determine:

• which entity will receive the investment and generate operating income;
• where the business activities will actually be carried out;
• which transactions will take place within and outside the SFIT;
• which matters will be subject to the special regime;
• whether a financial or other type of license will be required;
• how the ownership structure should be organized; and
• how income will be distributed and repatriated.

Mistakes at this stage can result in an already registered structure being tax-inefficient, subject to additional licensing requirements, or inconsistent with the original investment model.

That is why LEX Law Firm views registration in the SFIT not as a purely administrative service, but as the legal structuring of an investor’s entry into a new special regulatory regime.

How LEX Law Firm Supports Projects in the ‘Tamchy’ SFIT

Depending on the business model and scale of the project, LEX Law Firm can provide:[АВ2]

For complex investment projects, the process may begin with a dedicated legal structuring analysis – a legal opinion identifying the recommended model for establishing a presence in the SFIT, applicable regulatory requirements, key risks and the steps required to launch the project.

LEX Law Firm – From Structuring to Launch

LEX Law Firm is ready to support projects in the ‘Tamchy’ SFIT at every key stage:

business model, tax and regulatory analysis → structuring → registration → banking support → licensing → launch of operations → ongoing legal support.

LEX Law Firm’s role goes beyond simply incorporating a legal entity. Our aim is to help investors establish a viable, legally sound structure aligned with their business objectives.

If you are considering the ‘Tamchy’ SFIT for launching a new project, deploying an investment or establishing an international corporate structure, we recommend starting with a preliminary assessment of your business model.

For investors, this means an opportunity to establish a legally robust operating model from the outset and reduce risks that might otherwise emerge only after registration.

Contact LEX Law Firm for an initial assessment of your project and to determine the optimal structure for operating in the ‘Tamchy’ SFIT.