Kyrgyzstan considers land transfers for industrial parks without bidding

Kyrgyzstan is moving to facilitate the development of industrial parks and industrial zones with a new bill proposing changes to the Land Code. The draft legislation aims to establish a legal framework for these zones, introducing key definitions such as 'industrial park,' 'industrial zone,' 'industrial park management company,' and 'industrial park resident.'

A central provision of the bill is the potential to grant state and municipal lands to industrial park management companies without requiring public tenders. The cabinet of ministers would be responsible for deciding on the allocation of these plots. Additionally, management companies would be permitted to sublease these lands to park residents, provided the land's designated purpose remains unchanged. The cabinet will also define the procedures for such subleasing.

Developers argue that current legislation inadequately addresses the specific needs of large industrial projects. Investors currently face lengthy and costly processes for acquiring land, connecting to utilities, and securing property rights individually. The proposed law is expected to create a modern industrial park system with centralized infrastructure management, accelerate investment project timelines, attract both domestic and foreign capital, generate new manufacturing facilities and high-productivity jobs, and increase the output of high-value-added export goods. Proponents believe these changes will also reduce administrative hurdles for businesses, improve the efficiency of state and municipal land use, and foster the growth of small and medium-sized industrial enterprises.