On temporary restrictions on the collection of commission fees for money transfers

A decree has been adopted regarding the temporary restriction on levying commission fees for money transfers.

Commercial banks and payment organizations are prohibited from charging commission fees to individual clients for services related to the transfer of funds in the national currency within the Kyrgyz Republic via internet banking and mobile applications. It is also prohibited to withhold commissions from recipients upon the issuance of international money transfers within the territory of the Kyrgyz Republic conducted without opening an account.

The decree shall enter into force on January 1, 2026, and shall remain in effect until December 31, 2026.

On increasing the rates of business travel expenses

The decree establishes updated standards for the reimbursement of expenses related to the business travel of employees.

Thus, within the Kyrgyz Republic, the per diem allowance is set at 1,000 KGS for each day of travel in the regions of the country and 1,200 KGS in the city of Bishkek. Previously, these payments amounted to 500 and 600 KGS, respectively.

Reimbursement of expenses for the rental of residential premises is carried out based on actual costs confirmed by documentation. In the absence of supporting documents, housing expenses are compensated in the amount of 50 percent of the established per diem rate.

The decree enters into force on January 1, 2026.

On the further implementation of reforms aimed at enhancing efficiency and reducing bureaucracy in the public administration system of the Kyrgyz Republic

A Decree has been signed aimed at continuing the ongoing reforms within the framework of the state policy to enhance the efficiency of the public administration system.

Guided by Articles 66 and 71 of the Constitution of the Kyrgyz Republic, it is decreed as follows:

• State bodies are instructed to continue developing and implementing measures aimed at increasing efficiency and reducing bureaucracy within the public administration system of the Kyrgyz Republic, improving the quality of public services provided to the population, and optimizing administrative procedures;
• Baetov Ayaz Batyrkulovich, Minister of Justice of the Kyrgyz Republic, is entrusted with the authority to coordinate and ensure interaction among state authorities in implementing tasks aimed at enhancing efficiency and reducing bureaucracy in the public administration system of the Kyrgyz Republic, and is granted the status of Deputy Chairman of the Cabinet of Ministers of the Kyrgyz Republic until July 1, 2026;
• Baetov Ayaz Batyrkulovich is relieved of his concurrent position as Director of the National Institute of Strategic Initiatives under the President of the Kyrgyz Republic.This Decree shall enter into force on the date of its official publication.

On amendments to certain legislative acts in the field of taxation, social insurance, and non-tax revenues

A Law of the Kyrgyz Republic “On amendments to certain legislative acts of the Kyrgyz Republic in the field of taxation, social insurance, and non-tax revenues” has been signed.

The said Law was adopted by the Jogorku Kenesh of the Kyrgyz Republic on 24 December 2025.

The purpose of adopting the Law is to implement the Decree of the President of the Kyrgyz Republic “On measures to support certain sectors of the economy” dated 5 December 2025 No. 350, as well as to further improve the legislation of the Kyrgyz Republic and enhance the transparency and effectiveness of legal regulation.

In particular, the Law provides for the following key provisions:

– exemption from value added tax (VAT) of equipment, technologies, reagents, and semi-finished products used in jewelry manufacturing;

– exemption of individuals and legal entities from the payment of taxes on the sale of passenger motor vehicles until 1 January 2029;

– exemption of individuals, except for those registered as individual entrepreneurs, from fulfilling tax obligations, including the payment of penalties and tax sanctions, on income received before 1 January 2026 from the sale of motor vehicles;

– exemption from sales tax for manufacturers of vehicles, as well as components thereof, produced and/or assembled by enterprises of the Kyrgyz Republic, upon their sale;

– establishment, until 1 January 2030, of unified rates of social insurance contributions for all entities in the garment and textile industry, calculated based on the average monthly wage, as well as a minimum personal income tax rate of 1 percent of the average monthly wage of employees engaged in the garment and textile industry;

– establishment of a social insurance contribution rate of 6 percent of the reduced average monthly wage for persons engaged in leasing out property;

– reduction of the single tax rate to 0.1 percent (from the current rate of 1 percent) for activities carried out outside the territory of the Kyrgyz Republic;

– reduction of the transaction tax rate to 0.1 percent (from the current rate of 0.2 percent) for transactions conducted through banks of foreign states;

– introduction of a procedure for the legalization of remaining stocks of previously imported or manufactured jewelry made of precious metals, with the establishment of a moratorium on inspections by tax authorities during the legalization period;

– delegation, on a voluntary basis, to domestic manufacturers of jewelry made of precious metals of the functions of assaying and hallmarking products with their own hallmark confirming the relevant assay (except for the state assay hallmark), along with consideration of reducing assay fee rates;

– abolition of licensing for the retail sale of alcoholic beverages;

– exclusion of tax disputes from the jurisdiction of arbitral (third-party) courts.

In addition, the Law introduces amendments to the Code of the Kyrgyz Republic on Offenses, providing for:

1. the introduction of Article 295¹, establishing administrative liability for carrying out activities involving jewelry without registration on a special register (a fine of KGS 5,000 for individuals and KGS 13,000 for legal entities);
2. strengthening of liability under Article 311 for the illegal movement of goods and vehicles across the State Border of the member states of the Eurasian Economic Union, including:

– an increase in fines for individuals from KGS 10,000 to KGS 20,000, and for legal entities from KGS 28,000 to KGS 65,000;
– in the event of a repeated offense within one year, an increase in fines for individuals from KGS 20,000 to KGS 40,000, and for legal entities from KGS 65,000 to KGS 100,000, with the application of confiscation of goods and vehicles.