In 2020, all corporate residents registered with Tajikistan’s free economic zones (FEZ) produced a total of 199.8 million worth of goods, Tajik Minister of Economic Development and Trade Zavqi Zavqizoda told reporters in Dushanbe on February 19.
According to him, free economic zones operating in Tajikistan last year created 1,090 new jobs.
“In all, 43.3 million somonis were invested in the country’s free economic zones last year. Of this amount, 24.3 million somonis were invested in FEZ Danghara, 16.9 million somonis were invested in FEZ Sughd, and 2.1 million somonis were invested in FEZ Panj,” the minister said.
He further noted that a total of 72 corporate residents (both foreign and domestics ones) were registered with FEZs in Tajikistan: 30 corporate residents were registered with FEZ Sughd; 25 corporate residents were registered with FEZ Danghara; 11 corporate residents were registered with FEZ Panj; five corporate residents were registered with FEZ Ishkashim; and one corporate resident was registered with FEZ Kulob.
“Out of a total of 72 corporate residents, 25 are engaged in manufacturing, export and import activities and The rest of the enterprises are engaged in construction work and import of production equipment,” Zavqizoda added.
Five free economic zones now operate in Tajikistan: FEZ Sughd (Sughd province); FEZ Panj (Khatlon province); FEZ Danghara (Khatlon province), FEZ Kulob (Khatlon province) and FEZ Ishkashim (Gorno Badakhshan Autonomous Region – GBAO).
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.
