The Senate of Kazakhstan ratified the agreement with Kyrgyzstan on mutual protection of investments. It was adopted 30 years ago, and has now been updated taking into account changes in international and national legislation.
The document determines the procedure and conditions for creating a favorable regime to strengthen economic cooperation between the countries, in particular, for investments by one party in the territory of the other, as well as the settlement of issues related to investment activities in the territories of the two states.
«This agreement provides for the resolution of disputes, including the maximum guarantee from the host state and the provision of most-favored-nation treatment, which means that the host party must provide the foreign investor, with whom the agreement is concluded, with a regime no less favorable than it provides to its national investors,» Deputy Minister of Foreign Affairs of the Republic of Kazakhstan Alibek Kuntuarov said.
The new document protects entrepreneurs of the two countries from illegal interference in their business, and also creates favorable conditions for the safe investment of funds in the economy of another state.
Each contracting party reserves the right, in accordance with national legislation, to determine sensitive sectors of the economy and/or other related types of business activities that should be limited or excluded from the effect of the commitment. Neither party should nationalize or take any other measures that directly or indirectly deprive investors of the other party of their investments.
