The first enterprise has been registered at the Kulob Free Economic Zone (FEZ Kulob) – Tojik Almos LLC.
An appropriate agreement has been signed between FEZ Kulob and Tojik Almos, which will produce auto parts, according to the press center of the Ministry of Economic Development and Trade (MoEDT).
Recall, Tajikistan’s lower house (Majlisi Namoyandagon) of parliament (Majlisi Oli) endorsed the government’s decision to establish the free economic zone (FEZ) on the outskirts of the southern city of Kulob on March 20, 2019.
FEZ Kulob was established in an area of 309 hectares on the outskirts of the city of Kulob, bring the number of FEZs in Tajikistan to five — FEZ Sughd (Sughd province); FEZ Panj (Khatlon province); FEZ Danghara (Khatlon province), FEZ Ishkashim (Gorno Badakhshan Autonomous Region – GBAO), and FEZ Kulob (Khatlon province) .
The free economic zones provide preferential terms for economic, financial, trade, information, and other activities for investors. The FEZs offer incentives to investors, including preferences on taxation and customs procedures.
In the early 2000s, foreign direct investment has remained low because of political and economic instability, the poor domestic financial system, and Tajikistan’s geographic isolation. To attract foreign investment and technology, Tajikistan has offered to establish free economic zones in which firms receive advantages on taxes, fees, and customs. In 2004, the parliament passed a law on free economic zones. The zones reportedly offer customs and tax incentives to qualified investors that invest at least 500,000 USD and import at least 90% of the technology and equipment.
