Kazakhstan’s Foreign Direct Investment Regulatory Framework

According to UNCTAD, Kazakhstan has received over US D151 billion in net FDI since independence, making it the leading FDI recipient in Central Asia. In 2024, Kazakh FDI inflows reached USD12.7 billion between January and September, and new project investment totaled USD15.7 billion, signifying an 88% YoY increase.

Investment Policy and Strategic Vision

Kazakhstan’s Investment Policy Concept, approved in October 2024, outlines the country’s vision through 2029. It sets an ambitious target of attracting at least USD150 billion in FDI and increasing fixed capital investment to 25.1 % of GDP by 2029.

The Policy introduces a digital investment platform, enabling investors to submit permits online without direct government interaction, and mandates a Unified Register of Investors’ Issues and Complaints to streamline grievance resolution. Regional investment headquarters are also to be established across the country, working alongside national headquarters to expedite investment project implementation.

Investment Facilitation Mechanisms

In December 2024, order No. 11‑1‑4/746 reorganized the “one‑stop shop” mechanism to digitalize all investment procedures. Under these rules, the national digital investment platform became effective in January 2025. The decree also introduced a “green corridor”, a fast‑track mechanism for qualified projects to expedite licensing and approvals.

Projects are now categorized into a regional pool (under roughly USD2 million) and a national pool (larger investments and those under formal contracts). Investors in priority sectors may conclude investment contracts with performance-based obligations in areas like exports or labor productivity. Projects exceeding around USD50 million may receive special investor conditions, including tax holidays and deferred payments up to three years. Investments over roughly USD500 million may be guaranteed legislative stability for up to 10 years through dedicated contracts.

Sectoral Approach and Restrictions

According to the OECD review of 2012, Kazakhstan maintains a mostly open FDI regime with minimal equity restrictions or screening mechanisms—foreign investors generally enjoy equal rights with domestic entities, except in a few sectors such as subsurface use.

An important exception: in February 2021, Kazakhstan enacted a permanent ban on the sale or leasing of agricultural land to foreign individuals and legal entities, including those with foreign shareholders.

Special Economic Zones (SEZs) & AIFC

Kazakhstan operates 13 SEZs with tailored legal regimes offering exemptions from corporate income tax, property tax, land tax, VAT, and customs duties—often for up to 25 years. SEZs focus on sectors like logistics, ICT, petrochemicals, and manufacturing.

The Astana International Financial Centre (AIFC) provides a distinctive common-law legal jurisdiction, specialized courts, an international arbitration center, and tax incentives. It aims to attract global investors, with more than USD11.9 billion raised for the Kazakh economy by 2024, including green finance and fintech initiatives.

Transparency, Compliance & International Alignment

Kazakhstan has signed over 50 bilateral investment treaties and joined multilateral agreements like the Eurasian Economic Union. As of 2017, it is an associate member of the OECD Investment Committee. The government has removed more than 10,000 unnecessary business requirements since 2023, halving inspection burdens and improving transparency.

Visa-free regimes for citizens from 83 countries, simplified investor registration, and the ability to register businesses remotely further streamline the investment environment.

Emerging Trends & Outlook

Kazakhstan is channeling FDI into non‑commodity sectors such as green hydrogen, rare-earth metal extraction, manufacturing, logistics, and digital infrastructure. The country launched one of the region’s largest greenfield investments in 2024—a USD5.5 billion gas facility—and implemented a national emissions trading system (ETS), signaling a growing focus on sustainability.

At the Foreign Investors’ Council meeting on June 24, 2025, President Tokayev reaffirmed Kazakhstan’s strategy to become a reform-oriented, reliable investment destination, emphasizing mining and logistics as priority sectors in the digitization-driven growth agenda.

Kazakhstan’s FDI regulatory environment blends liberal access, targeted facilitation, and strategic incentives, underpinned by modern digital platforms and investor protections. While maintaining a generally open regime, the country enforces sectoral limitations—such as a ban on foreign land ownership—and structures strong incentives in priority industries. With digitalization, special zones, and evolving policy instruments, Kazakhstan is positioning itself as an increasingly attractive and competitive destination for foreign investors.