At first glance, the Astana International Financial Centre (AIFC) website may seem overloaded: a plethora of links, sections and information blocks leave little time for reflection. But behind this bright interface is a centre that is opening up Kazakhstan to global investors, innovative companies and start-ups.
What is the AIFC?
The AIFC, or Astana International Financial Centre, is a specialised zone in the capital of Kazakhstan designed to stimulate financial and investment activity. But the range of activities in the AIFC is not limited to the financial sector. There are opportunities for start-ups, innovative businesses and companies providing a wide range of services: from logistics and consulting to IT and trade.
How to become a participant in the AIFC?
To take advantage of all the benefits of the AIFC, companies need to go through the registration process with the Centre. The first step is to submit a company registration application through the AIFC’s official website, which also provides detailed requirements for potential residents. The main steps are to provide documents confirming financial stability and compliance with the centre’s standards, and to obtain a legal address in Astana. Once the application is approved, the company is granted resident status and access to a preferential tax regime and licensing, if required for the chosen field of activity. The process of registering and joining the ranks of AIFC residents is thus structured and transparent, allowing companies to get up and running quickly and take advantage of all the Centre has to offer.
Financial and Non-Financial Opportunities
The main difference of the AIFC is its unique licensing system. Financial activities (banking, insurance, asset management, etc.) require a licence from the AIFC regulators, but in return participants receive tax incentives and benefits. Non-financial activities, such as consulting and IT, do not require a licence, but companies must comply with the general laws of Kazakhstan, including tax laws.
Successful companies and projects in the AIFC
Since its inception, the AIFC has attracted many international and local companies that are successfully operating on its platform. For example, the Astana International Exchange (AIX) was established in partnership with the Shanghai Stock Exchange and Nasdaq, providing an innovative platform for securities trading and capital raising. AIX has become a key player in the development of Kazakhstan’s financial market, providing investment opportunities for both local and foreign investors. The Big Four – Deloitte, KPMG, PwC and EY – have also opened offices in the AIFC, providing high quality advisory and audit services. Their presence is helping to build confidence among international businesses and investors.
In the area of financial technology, the AIFC actively supports start-ups through the Fintech Hub, which serves as a platform for innovative projects. For example, Kazakh startup ReKassa has developed a mobile application for small and medium-sized businesses to manage sales and tax reporting. Another local company, MyCar Group, has created an online platform for selling and buying cars, which has greatly simplified the process for consumers.
English Law Court System
An important part of the AIFC’s investment attractiveness is its unique court system, which is independent of Kazakhstan’s general jurisdiction. In the AIFC, disputes are resolved under English law, which makes the procedures more flexible and understandable for international participants. The AIFC Court and International Arbitration Centre are led by distinguished judges and arbitrators with international experience, such as Lord Harry Kenneth Woolf, former Lord Chief Justice of England and Wales. Lord Woolf was known for his significant achievements in the judicial system and his efforts to modernise judicial procedures. He was also active in international judicial initiatives and worked with various international courts and organisations.
This system ensures a high level of protection of the rights and interests of participants, which is particularly important for foreign investors. Proceedings are conducted in English and judgments are recognised and enforced in other jurisdictions. You do not need to be a resident to have access to the AIFC Court. Non-residents can take advantage of the AIFC court system through an arbitration clause in their contracts.
Special tax regime
The AIFC has a special tax regime with significant advantages. For example, residents are exempt from corporate income tax on income from certain activities for up to 50 years. Foreign professionals benefit from a simplified visa regime and tax incentives, even if their activities do not require a licence. This means that foreign professionals can more easily obtain visas and enjoy tax benefits, making it easier for them to work and live in Kazakhstan. And that makes the AIFC an attractive place to work for talent from around the world.
Recent Achievements and Initiatives
The AIFC continues to introduce new initiatives to strengthen its position as a leading financial centre in the region. In 2023, the Green Finance Programme was launched to support environmentally sustainable projects. This initiative has attracted the attention of international organisations such as the European Bank for Reconstruction and Development (EBRD), which has expressed its willingness to cooperate in financing green projects.
Another important initiative was the creation of the Digital Residency platform, which allows entrepreneurs from around the world to register companies in the AIFC remotely. This has greatly simplified the registration process and opened up business opportunities without the need for a physical presence in Kazakhstan.
The AIFC also launched the Astana Finance Days, an annual event that brings together experts, investors and opinion leaders to discuss global financial trends and build partnerships. This event has become an important platform for sharing experiences and showcasing new projects.
The AIFC as a centre of attraction for business and investors
The AIFC offers a wealth of opportunities for businesses, regardless of their specialisation. With its location in the heart of Eurasia, unique legal framework and support for both start-ups and large corporations, the centre is becoming an attractive platform for international investors and companies. Here you can take advantage of a developed infrastructure, access to international financial markets and a favourable tax regime.
The AIFC is a window to the future for those ready for innovation and global growth. With the dynamic development and implementation of new initiatives, the centre continues to strengthen its position on the global financial map, offering businesses and investors unique opportunities for success.