New PPP Law
On August 11, 2021, the President Japarov signed a new Public-Private Partnership Law (the "New PPP Law "), effective from August 22, 2021. The main changes to PPP regulations are:
1. The large-scale PPP projects attracting over KGS 1 billion investment can be awarded by direct negotiation, do not require tender, and a private partner can be directly selected by a public partner;
2. The PPP projects attracting over KGS 100 million investment can be awarded through tender by the Ministry of Investment, while the projects attracting under KGS 100 million investment can be awarded through tender by the central government or local self-government authorities, or state-owned or municipal enterprises or institutions in the relevant industry;
3. The PPP projects attracting over KGS 100 million investment require 2 public partners who jointly execute a PPP agreement with a private partner: in all projects, the first public partner must be the designated PPP authority, currently, the Ministry of Investment of the Kyrgyz Republic, and the second public partner must be a public authority in the relevant industry, or local self-government authority, or state-owned or municipal enterprises or institutions, or joint- stock companies having 50 or more government ownership;
4. The term of the PPP agreement is unlimited (previously it was limited to 30 years with the possibility of extension), however, the New PPP Law stipulates that contributions to a PPP project can be made for a term of up to 49 years; and
5. Finally, the New PPP Law protects private partners in PPP projects by prohibiting compliance and regulatory audits, except tax audits, during 3 years after signing a PPP agreement.
Please see the text of the New PPP Law using the following link
Location map