The Astana International Financial Centre

By the Decree of the President of Kazakhstan, dated 19 May 2015, a new financial centre, called the Astana International Financial Centre ("AIFC"), was created in Kazakhstan's capital, Astana, with an ambitious goal to become one of the top 10 financial centers in Asia, and one of the top 30 in the world by 2020.

The legal framework of the AIFC was drafted to complement the existing regulations of the Dubai International Financial Centre, which are based on the common law of England and Wales.

The AIFC began operating from 1 January 2016. To effectively utilise the premises being constructed for the EXPO-2017 Exhibition, the AIFC will be located within the territory of the EXPO, however from 1 January 2018.

In December 2015, a special law - the Constitutional Law "On AIFC" (the "AIFC Law") - was adopted, which defined the AIFC as a territory within the city of Astana, with limited borders and a special legal regime.

Benefits for companies setting-up in the AIFC

The AIFC Law provides for a number of benefits which will be available for the AIFC's participants, their shareholders and employees. Such benefits include the following:

a fifty year exemption (i.e. until 1 January 2066) from corporate tax on income received within the territory of the AIFC; a fifty year exemption (i.e. until 1 January 2066) from individual tax on income received as dividends and on the income of the staff of the AIFC's participants; a fifty year exemption (i.e. until 1 January 2066) from the tax on capital gains received as a result of the sale of securities...