Bishkek, Kyrgyz Republic, July 24, 2009—IFC,
a member of the World Bank Group, announced that it will work with the
government of the Kyrgyz Republic to improve the country’s business environment
by reforming government inspections and improving the tax system
for small and medium enterprises.
Managers of IFC’s Business Enabling
Environment Project, in partnership with the government of Switzerland,
recently signed a memorandum of understanding and 2009-2010 action plans
with the Economic Development and Trade Ministry and the State Committee
on Taxes and Revenues of the Kyrgyz Republic. The documents outline a work
plan aimed at improving the regulatory environment for SMEs in the country.
The memorandum and action plans highlight
a strategy for collaboration between the Kyrgyz government and IFC to streamline
government inspections practices and improve SME taxation. IFC monitors
changes to the business environment in the Kyrgyz Republic through nationwide
surveys of the private sector. Other efforts include helping increase entrepreneurs’
awareness of their legal rights and fostering dialogue between the government
and private sector.
Akylbek Japarov, the Economic Development
and Trade Minister of the Kyrgyz Republic, stressed the government’s commitment
to improving the business environment. “We hope to create a more favorable
business environment for the private sector and see SMEs’ contribution
to the country’s GDP increase by up to 60 percent. We are counting on
IFC’s assistance to help us achieve this goal,” he said.
“The signing of the memorandum and
the action plans is an important step in effective collaboration between
the Kyrgyz government and IFC in improving the regulatory environment for
SMEs,” said Ellen Payne, Project Manager for IFC’s Business Enabling
Environment Project. “IFC is also looking forward to supporting the Kyrgyz
government in implementing private sector reforms—important efforts which
tie into the country’s Doing Businessrating.”
The Kyrgyz Republic joined IFC in 1993.
IFC commitments to the country to date total nearly $80 million, including
investments in the private sector and advisory services focusing on financial
infrastructure, microfinance, corporate governance, and business environment
IFC, a member of the World Bank Group,
creates opportunity for people to escape poverty and improve their lives.
We foster sustainable economic growth in developing countries by supporting
private sector development, mobilizing private capital, and providing advisory
and risk mitigation services to businesses and governments. Our new investments
totaled $16.2 billion in fiscal 2008, a 34 percent increase over the previous
year. For more information, visit www.ifc.org.
About the State Secretariat for Economic
Funding for the project is provided
by the State Secretariat for Economic Affairs (SECO), the Swiss Confederation’s
competence center for all core issues related to economic policy. Its aim
is to create basic regulatory and economic policy conditions to enable
businesses to flourish and benefit all. SECO represents Switzerland in
large multilateral trade organizations and international negotiations,
and is involved in efforts to reduce poverty and help countries in transition
build sustainable democratic societies and viable market economies. Each
year, Switzerland spends about $1.5 billion on development cooperation
and transition assistance to developing countries. For more information,