Nearly 1 billion KGS in budget funds will be allocated to the rehabilitation of the plant in Mailuu-Suu

President Sadyr Zhaparov signed a decree on the resumption of operations at OJSC “Mailuu-Sui Light Bulb Factory,” which provides for large-scale financial support and structural transformation of the enterprise. The total funding will amount to 931.6 million KGS, to be allocated from the Stabilization Fund.

The document effectively launches a comprehensive turnaround of the plant.

The first stage will be to stabilize the enterprise’s financial condition. Over the next two months, more than 278 million KGS are planned to be allocated for the early repayment of a loan to the State Development Bank, as well as to settle debts owed to the Social Fund, energy companies, Kyrgyzneftegaz, utility services, and the gas operator.

A key element of the reform will be the creation of a subsidiary wholly owned by the plant. The subsidiary will take over the plant’s core production operations, including equipment, workshops, and other assets. The transfer is planned to be made on a gratuitous basis for a period of 20 years.

At the same time, the plant itself will retain its role as the managing company of the industrial park to be established on its premises. This structure involves a division of functions: infrastructure management will be handled by the parent company, while production will be managed by the subsidiary.

At the same time, the Cabinet of Ministers has been tasked with considering the removal of the plant from the list of strategic facilities. This should expand opportunities for its commercial development and attract partners.

In addition, 653.6 million KGS are planned to be allocated to the development of production projects. The funds are allocated across two areas:

• 377.6 million KGS—for expanding the production of SMD LED lamps, including the purchase of automated production lines;
• 276 million KGS—for the development and diversification of glass container production, including the establishment of a system for the collection and recycling of glass waste.

Thus, the plant is expected to transition from traditional lamp production to a more modern and diversified model.

Under the decree, state and municipal enterprises, as well as companies with more than 50% state ownership, are recommended to purchase the plant’s products through direct contracts. This effectively creates guaranteed demand for the company’s products in the domestic market.

At the same time, several government agencies have been instructed to strengthen control over the import of LED lamps and to crack down on their illegal importation. This may further protect domestic manufacturers.

Projects within the territory of the future industrial park are planned to be included in the list of national investment projects and projects of national importance. It is also envisaged that tax incentives may be provided to park residents.

Overall, the decree establishes the institutional framework for transforming the plant from a troubled industrial asset into a site for industrial development.

Oversight of the decree’s implementation has been entrusted to the Presidential Administration. The decree itself will take effect ten days after its official publication.