The present Law regulates relations in connection to carrying out investment activities and identifies legal and economic basis for providing incentives and state support to investments through granting, equitable treatment and legal guarantees for the protection of investors’ rights.
CHAPTER 1. GENERAL PROVISIONS
The key definitions used in the present Law:
– investments – investment of capital by an investor in the form of tangible and intangible assets in the territory of the Republic of Tajikistan for getting a profit;
– investor – a natural or a legal entity as well as an unincorporated organization that carries out investment activities in the Republic of Tajikistan;
– investment activity – an investment process including preparation, execution and management of an investment projects related to investments;
– long-term investment – investment of capital in an investment project with a duration over ten years;
– foreign investor – foreign government, any foreign legal entity, foreign unincorporated organization, a foreign citizen, , as well as international organizations carrying out investments in the Republic of Tajikistan in accordance with the legislation of its host country;
– domestic investor – a natural person and alegal entity of the Republic of Tajikistan carrying out investments in various sectors of economy of the Republic of Tajikistan;
– minority investor – an investor that had made investments in the amount of less than ten percent of voting shares (less than ten percent of votes of the total votes of participants)
– direct investments – possession, acquisition by an investor of at least 10 percent share/shares (contribution) in the authorized (share) capital of a commercial organization established or newly created in the territory of the Republic of Tajikistan in accordance with the laws of the Republic of Tajikistan, as well as investment in fixed assets of a branch of a foreign entity established in the territory of the Republic of Tajikistan;
– reinvestment – investment in business ventures in the territory of the Republic of Tajikistan using revenues or profits of investors received from investments in the Republic of Tajikistan;
– investment dispute – a dispute arising out of contractual obligations between investors and state bodies and/or officials of the Republic of Tajikistan and other participants of investment activities in connection with the investment activities of the investor
– authorized investment body – a state body that implements the government policy in the field of investment;
– state in-kind grants – property transferred to the investor for temporary free use for the implementation of the investment project;
– investment incentives – targeted incentives provided to investors in accordance with the legislation of the Republic of Tajikistan and investment agreements;
– Single Window for investors – a centralized form of assistance to investors by the authorized body in the field of investment in the provision of public services, ensuring minimization of investors’ participation in the collection and preparation of documents and limiting their direct contact with state authorities;
– expropriation – forced compensated estrangement of property by the state in the public interests;
– indirect (implicit) expropriation – state regulatory measures that are not aimed at direct deprivation of property, but the investments lose their financial value and effectiveness;
– nationalization – transfer of property to the state property with payment of its value and compensation of other losses caused to the owner in connection with the nationalization.
– requisition – impoundment of property from the owner in case of natural disasters, accidents, epidemics, epizootic and other emergencies in accordance with the mandative decision of the Government of Tajikistan in the manner and on the terms established by law and in the public interest, with compensation of the value of the seized property;
Article 2. Legislation of the Republic of Tajikistan in the area of investments
The legislation of the Republic of Tajikistan in the area of investments is based on the Constitution of the Republic of Tajikistan and comprises this Law and other regulations of the Republic of Tajikistan, as well as international legal instruments recognized by the Republic of Tajikistan.
– shares, equity stakes in authorized capital, and other forms of participation in legal entity;
– property rights;
– intellectual property and other forms of non-property rights;
– other objects of civil rights the circulation of which is not limited by the legislation of the Republic of Tajikistan.
Article 4. Types of foreign investments
Foreign investors have a right to carry out the following types of investments:
– establishment of enterprises fully owned by foreign investors, as well as branches, affiliated companies, and representative offices belonging to foreign legal entities, or through acquisition of ownership in the existing enterprises;
– establishment of legal entities of the Republic of Tajikistan with participation of citizens of the Republic of Tajikistan, or acquisition of shares in the existing enterprises;
– acquisition of shares, bonds, and other securities as established by the legislation of the Republic of Tajikistan;
– independent acquisition or acquisition with participation of legal entities of the Republic of Tajikistan as well as citizens of the Republic of Tajikistan concession rights for using of state property and natural resources in the territory of the Republic of Tajikistan;
– acquisition of other property rights;
– other types of investment not prohibited by the legislation of the Republic of Tajikistan.
Article 5. Restrictions on carrying out investments
Article 6. Authorized state body in the area of investments and its mandate
The authorized state body in the area of investments is identified by the Government of the Republic of Tajikistan and carries out the following functions:
– provides assistance to investors in enforcing carrying out of obligations of relevant state bodies and legal entities;
– considers applications of investors on issues arising in the course of carrying out investment activities in the Republic of Tajikistan, and serves as a link between the relevant authorities and investors;
– drafts and disseminates information about investment opportunities, programs, projects, and conditions in the Republic of Tajikistan;
– develops proposals for improvement of investment climate and on improving the investment legislation of the Republic of Tajikistan in the Republic of Tajikistan;
– provides assistance to investors in addressing emerging issues and disputes, including following pre-trial procedures;
– signs investment agreements and contracts in line with the agreed procedure;
– carries out other functions aimed at direct investment promotion, support and protection of investors in the Republic of Tajikistan.
CHAPTER 2. LEGAL REGIME OF INVESTMENTS
Article 7. Guarantee of investor rights equality
The state guarantees equality of rights of foreign and domestic investors, not allowing discrimination against rights of investors in connection with their nationality, ethnicity, language, gender, race, and religion.
Article 8. Guarantee of legal protection of investor
– increasing of tax burden in comparison to tax burden on the day of beginning of investment project funding;
– introducing of quantitative restrictions on the volumes of investments and other additional requirements to the volume of investments, setting up other prohibitions and restrictions;
– introducing restrictions on the equity participation of foreign investor in statutory fund (statutory capital) of legal entities.
Article 9. Additional guarantees and measures to protect investors
– open bank accounts in the national and (or) foreign currency in banks and other credit organizations located in the territory of the Republic of Tajikistan in accordance with the legislation of the Republic of Tajikistan;
– use, at their own discretion, profit received from their activities after payment of taxes and other obligatory payments.
Article 11. Currency transactions
Article 12. Guarantee for investor participation in privatization of state property
Article 13. Transparency of the activities of state bodies in relation to investors and access to information related to carrying out of investment activities
Article 14. Guarantee of investor rights in case of expropriation, and requisition
Article 15. Transfer of investor rights to another person
Article 16. Guarantee of investor right for exporting property and information abroad
An investor who originally imported into the territory of the Republic of Tajikistan property, information in a form of a document or in the form of electronic records as an investment, is eligible for unimpeded (without receiving a license, quotas, and application of other measures of non-tariff regulation of foreign trade) export of the said property and information from the Republic of Tajikistan abroad after the expiry of the investment in accordance with the customs legislation of the Republic of Tajikistan.
Article 17. Investor’s rights to use natural resources
Article 18. Guarantees for investor implementing reinvestment
Article 19. Concession agreements
The rights to the concession objects in granted to investors on the basis of concession agreements concluded in accordance with the Law of the Republic of Tajikistan “On concessions”.
Article 20. Investments to free economic zones
Statutory provisions of the Republic of Tajikistan on free economic zones apply to making investments into free economic zones.
CHAPTER 3. STATE SUPPORT TO INVESTOR AND INVESTMENTS
Article 21. Investment incentives
Tax, customs and other incentives are granted to investors in the manner and on the terms established by the legislation of the Republic of Tajikistan, investment agreements and international legal instruments recognized by the Republic of Tajikistan.
Article 22. State in-kind grants
Article 23. Single Window for providing assistance to investors
– receiving and counselling of investors on existing public services;
– receipt of applications from investors for getting public services, provision of assistance in the preparation and presentation of the documents necessary to obtain public services and handing out the results of public services;
– following up on investment project in the state bodies when getting public services;
– assisting in addressing investors issues in cooperation with the relevant government authorities;
– monitoring of public service delivery, as well as consideration of requests and appeals of investors to state authorities.
CHAPTER 4. REQUIREMENTS TO INVESTORS
Article 24. Obligations of investors
Article 25. Labor relations between investor and citizens of the Republic of Tajikistan
The labor relations between the investor and employees – citizens of the Republic of Tajikistan is regulated by the labor legislation of the Republic of Tajikistan.
Article 26. Rights and obligations of investor on attracting foreign labor force to the Republic of Tajikistan
CHAPTER 5. FINAL PROVISIONS
Article 27. Control in the area of investment
Control in the field of investment is carried out by the state authorities in line with the procedure set forth in the legislation of the Republic of Tajikistan.
Article 28. Settlement of investment disputes
Article 29. Responsibility for the breach of the present Law
Natural persons and legal entities violating the provisions of this Law shall be prosecuted in accordance with the laws of the Republic of Tajikistan.
Article 30. Concerning the annulment of the Law of the Republic of Tajikistan “On Investment”
The Law of the Republic of Tajikistan “On investment” dated May 12, 2007, is annulled (Ahbori Majlisi Oli of the Republic of Tajikistan, 2007, №5, p. 365).
Article 31. The procedure of the enactment of the present Law
The present Law shall come into force after its official publication.
The President of the Republic of Tajikistan
15 March 2016, № 1299