Leilek Free Economic Zone (FEZ Leilek) – Gateway to South-West Kyrgyzstan
The Leilek Free Economic Zone (FEZ Leilek) is one of the five officially designated free economic zones in the Kyrgyz Republic. Located in the Batken Region in the south-west of the country, it is strategically positioned on the border with Uzbekistan and Tajikistan, making it a compelling choice for export-oriented production and cross-border trade.
Location & Strategic Advantage
Situated within the Leilek District of Batken Region, FEZ Leilek serves as a corridor linking Central Asia’s logistics and manufacturing networks. Its proximity to multiple national borders and transport routes provides companies with streamlined access to regional markets.
Investment Incentives & Benefits
Enterprises operating in FEZ Leilek benefit from a suite of regulatory and fiscal incentives crafted to enhance their competitiveness:
- Import of raw materials, equipment and components into the zone may be "exempt from customs duties" when destined for manufacturing or re-export.
- Simplified registration and licensing process allowing foreign and domestic investors to establish operations more quickly.
- Preferential tax treatment for zone residents under Kyrgyz legislation on FEZs, including reduced or exempt business taxes for export activities.
- Ability for businesses to focus on exports without the typical constraints of general domestic market sales; this encourages global value chain linkages.
Key Sectors & Operational Focus
FEZ Leilek is particularly well-suited for companies involved in:
- Light manufacturing and assembly
- Export-oriented processing of goods destined for regional markets
- Logistics and trade services leveraging cross-border location
- Businesses seeking low-cost establishment in Central Asia with freedom to access multiple markets
Registration & Setup Process
To become a resident of FEZ Leilek and benefit from its incentives, the typical steps include:
1. Submit an application with required documentation (company charter, investment plan, registration certificate) to the FEZ administration. ([24.kg][3])
2. Sign a resident agreement with the zone authority specifying rights and obligations.
3. Register your legal entity with the Ministry of Justice of the Kyrgyz Republic and obtain the necessary license to operate within FEZ.
4. Begin operations under the FEZ regime and enjoy the available tax and customs preferences.
Why Choose FEZ Leilek?
- " Border access": Its location on the Kyrgyz-Uzbek-Tajik frontier gives distinctive advantages in regional trade.
- "Cost-efficiency": Compared to major free zones in more developed regions, Leilek offers a more affordable entry point.
- "Export orientation": Designed for companies targeting Central Asian and Eurasian markets, not solely the domestic Kyrgyz market.
- "Regulatory clarity": Governed by the national law on free economic zones and supported by official frameworks for investor participation.
Important Considerations
While FEZ Leilek offers attractive benefits, potential investors should also be aware of the following:
- Infrastructure may be less developed compared to zones in capital-adjacent or major industrial regions.
- Sales to the domestic Kyrgyz Republic market may be subject to standard taxation if value-added thresholds are not met.
- Enterprises must maintain continuous economic activity in the zone, or risk losing resident status and associated privileges.
Summary
FEZ Leilek offers a strategic opportunity for investors seeking a gateway into Central Asia and Eurasia. With customs and tax incentives, simplified setup, and a cross-border location, it is an ideal environment for export-oriented manufacturing and trade. Companies looking for a cost-efficient and accessible free zone in Kyrgyzstan will find Leilek to be a compelling choice.
If you wish to discuss how our consulting services can assist you in registering your company and becoming a resident of FEZ Leilek, please contact us.
For further information and detailed guidance on FEZ Leilek registration and incentives, feel free to reach out to our consulting team.
Last Update: October 2025