Kyrgyzstan has updated its rules for resolving investment disputes

The President has signed a law introducing new rules for resolving investment disputes. The main aim of the law is to improve the effectiveness of state policy in the field of investment and to resolve legal inconsistencies.

Under the amendments, investment disputes within Kyrgyzstan are to be resolved primarily through negotiation. With the consent of the parties, mediation and other forms of pre-litigation settlement are also permitted.

If a dispute cannot be resolved amicably, it may be heard in the courts of the Kyrgyz Republic or through arbitration, provided there is a relevant written agreement or international treaties in place.

It is specifically stipulated that the confiscation of an investor’s property as a preventive measure may be applied exclusively by court order and in cases provided for by criminal law.

The law also introduces voluntary accreditation for foreign investors planning to operate in the country.

Furthermore, the provision of the Law ‘On Arbitration Courts’ governing the adjudication of investment disputes by arbitration courts has been repealed.

The new amendments are aimed at streamlining investment procedures and enhancing legal certainty for investors.