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All the necessary conditions for doing business were created - Bolat Palimbetov

26 June 2018 - Kostanay Region
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On June 25, a forum "Investment Climate and Mechanisms of Counteracting Corruption" was held in Kostanay, in which Bolat Palimbetov, the Commissioner for the Protection of Entrepreneurs Rights of Kazakhstan, took part.

"In 2016-2017, an extensive work was carried out to reduce the administrative burden on the business" - Bolat Palymbetov said at the forum. - During the humanization of administrative legislation, 323 articles of the provisions of the Administrative Code were revised. As a result, the institute of exemption from liability for misdemeanour, the reduction of the amount of administrative fees by an average of 30% under 157 articles, the opportunity to pay a fine with a 50 percent discount were taken into account. Together with the General Prosecutor, work was carried out to humanize criminal legislation, reduction of the sanctions for violations in the entrepreneurial environment. As a result, the number of criminal cases on economic offenses in the past 2 years decreased by 5 times. In 2015, 80% of entrepreneurs were subjected to unjustified criminal prosecution, that is, only 20% reached the court. To date, the situation has changed. The article of pseudo-entrepreneurship was rescinded. Pressure on counterparties has been decreased. It's hard to lose business, but it's even harder to lose freedom."

According to the ombudsman, all systemic issues faced by Kazakhstan entrepreneurs are included in the single Register. Now it has 571 questions, of which 386 have already been resolved. 48 are being resolved.

The topic of protection of domestic entrepreneurs is being brought to the international level. A forum of business ombudsmen of Kazakhstan and Russia was organized in 2017, where an agreement on mutual assistance and cooperation was signed. A similar agreement was signed with the authorized representative of the Republic of Uzbekistan. Thanks to these measures, entrepreneurs do not remain alone with their problems abroad.

"Today in Kazakhstan all conditions for doing business are created. All the legislative base, institutes for the protection of the rights of entrepreneurs were created. Kostanay region is a favorable region with a business-friendly atmosphere. There is a comfortable investment climate" - Bolat Palimbetov said.

One of the tools for its creation is the Kostanay Business Service Center. The director of the Chamber of Entrepreneurs, Murat Abenov, described the services it provides and its influence on the business environment:

"Currently, 36 specialists are providing consultations at the service center. At the same time, entrepreneurs can not only receive advice and training services within the framework of state support measures, but also enjoy the "single window" principle. Entrepreneurs have the opportunity to learn the basics of business, register as a business entity, receive expert advice from the service center either from a state agency or a monopoly enterprise, apply for technical conditions. If necessary, businesspeople can voice their problems here at the service center directly by requesting the duty prosecutor. All information is summarized, analyzed by the experts of the Chamber and sent to the NCE RK "Atameken" or to the authorized state bodies. Such an "elevator" has repeatedly proved its effectiveness"

On June 25, the business ombudsman held a face to face meeting with Kostanay entrepreneurs, where he listened to problematic issues and proposals.

The director of Best Kostanay LLP, Vidadi Yusubov, raised the issue that concerns not only Kostanay region, but the entire republic.

"Our company launched a project for the construction of a mill complex with a capacity of 1,250 tons per day, the total cost of investments is about 3 billion tenge" the businessman said to the business ombudsman. - We have received a land plot for the construction of railway tracks, in the development of which more than 40 million tenge were already invested, the construction is nearing completion. And now we are told that the land was obtained illegally, because there was no auction. We were asked to voluntarily abandon the construction site."

According to Bolat Palimbetov, entrepreneurs do not have any responsibility for that. At the moment, such cases are being analyzed all over Kazakhstan, after which the problem will be solved in a comprehensive manner.

The representative of the largest domestic dairy producer "DEP" LLP sought the ombudsman's help. In June, the "Rosselkhoznadzor" imposed a ban on the import of the company's goods into the Russian Federation without any written notification. Trucks with the cargo of "DEP" LLP cannot pass through the border. As stated on the "Rosselkhoznadzor" official website, "this decision was made by the service because of the detection of a fraudulent scheme of deliveries to Russia from Belarusian enterprises subject to restrictive measures." Together with "DEP" LLP, the products of two more enterprises - "Tayinsha-Astyk" LLP (North Kazakhstan region) and  "Molproduct" LLP (North-Kazakhstan region, Petropavlovsk) were banned. According to the representative of "DEP" LLP, the company does not participate in any fraudulent scheme, moreover, there were no audits on this matter.

Bolat Palimbetov promised to discuss this issue with Boris Titov, the authorized representative under the President of Russia for the protection of entrepreneurs' rights.

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