On establishment of the special economic zone "Park of innovative technologies" Decree of the President of the Republic of Kazakhstan dated August 18, 2003 No. 1166 Footnote. Heading is in the wording of the Decree of the President of the Republic of Kazakhstan dated 08.12.2011 No. 193. In accordance with the Law of the Republic of Kazakhstan of July 21, 2011 "On special economic zones in the Republic of Kazakhstan" and to create new competitive industries and to apply fully the research and technical and innovative potential of the Republic of Kazakhstan, I issue this Decree. Footnote. Preamble is in the wording of the Decree of the President of the Republic of Kazakhstan dated 29.12.2012 No. 193. 1. To establish the special economic zone "Park of innovative technologies" (hereinafter - SEZ) until January 1, 2028. Footnote. Item 1 is in the wording of the Decree of the President of the Republic of Kazakhstan dated 08.12.2011 No. 193. 2. To approve the following: 1) Regulation on SEZ; 2) target performance indicators and critical non-achievement level of target indicators of SEZ. Footnote. Item 2 is in the wording of the Decree of the President of the Republic of Kazakhstan dated 29.12.2012 No. 457. 3. Government of the Republic of Kazakhstan shall take measures to provide for activity of SEZ. 4. Administration of the President of the Republic of Kazakhstan shall be responsible for control of implementation of this Decree. 5. The present Decree shall come into force from October 1,2003. President of the Republic of Kazakhstan APPROVED BY the Decree of the President of the Republic of Kazakhstan dated August 18, 2003 No. 1166 Regulation on special economic zone "Park of innovative technologies" Footnote. Regulation is in the wording of the Decree of the President of the Republic of Kazakhstan dated 08.12.2011 No. 193. 1. General provisions 1. Special economic zone "Park of innovative technologies" (hereinafter - SEZ) is located on the territory of Alatau village of Medeu region of Almaty and adjoining parts of Almaty oblast according to the attached plan. The territory of SEZ is 163.02 hectares and is an integral part of the territory of the Republic of Kazakhstan. 2. SEZ is created for: 1) technical development of the following business areas: information technology; communications and data transmission technology; electronics and instrument making industry; renewable energy resources, efficient use of resources and environmental management; technology to produce and use materials of different purpose; technology to produce, transport and process oil and gas; 2) promotion of the economy of the country entering the global economic relation system; 3) establishment of high, including high-tech and competitive industries, assimilation of new types of production, attracting investment. 3. Priority activities on the territory of SEZ are: 1) to create a modern infrastructure of SEZ, including development of business plans, design and estimate documentation, construction and installation works, SEZ estate maintenance; 2) to conduct retraining and advanced training of highly qualified specialists in the areas defined by paragraph 2 of this Regulation; 3) to provide design, development, implementation, pilot production and production of software, databases, and hardware, and data center services, online services in the areas defined by paragraph 2 of this Regulation; 4) to create, implement and promote new technologies in the areas defined by paragraph 2 of this Regulation; 5) market research in the areas defined by paragraph 2 of this Regulation; 6) to conduct research and development works for creation and implementation of projects in the areas defined by paragraph 2 of this Regulation; 7) to manufacture machinery for processing text, reproducing equipment, addressing machines, calculators, cash registers, franking machines, ticket machines, production of other office machinery and equipment, computers and other information processing equipment; 8) to produce electronic and radio elements, transmitting equipment, equipment to receive, record and reproduce sound and images; 9) production of household electrical devices; 10) to conduct training based on undergraduate, graduate, doctoral studies in the areas defined by paragraph 2 of this Regulation; 11) business hatching projects in the areas defined by paragraph 2 of this Regulation, which are realized under the programs of public authorities to support industrial innovation business. Footnote. Item 3 as amended by the Decree of the President of the Republic of Kazakhstan dated 29.12.2012 No. 457. 4. SEZ creates favourable conditions for creative and productive work in the field of innovation of the universities, including the International University of Information Technologies, vocational educational institutions and scientific research institutes. Their activities under SEZ are regulated in accordance with paragraph 3 of this Regulation, and the current legislation of the Republic of Kazakhstan. 5. The participants of SEZ in information and innovative technologies it is not necessary to perform activities on the territory of FEZ prior to January 1, 2015 in the following areas: 1) design, development, implementation, pilot production and production of software, databases, and information hardware, and data center services, online services; 2) research and development works for creation and implementation of projects in information technology area; 6. SEZ activities are regulated by the Constitution of the Republic of Kazakhstan, the Law of the Republic of Kazakhstan dated July 21, 2011 "On special economic zones in the Republic of Kazakhstan", and other regulatory legal acts of the Republic of Kazakhstan. It is prohibited to carry out the activities on the territory of SEZ connected to production of excisable goods. If the international treaty ratified by the Republic of Kazakhstan establishes rules which differ from those which are contained in the legislation of the Republic of Kazakhstan on special economic zones, the rules of the international treaty shall be applied. 2. SEZ management 7. SEZ management shall be conducted in accordance with the Law of the Republic of Kazakhstan "On special economic zones in the Republic of Kazakhstan". 8. Governing body of SEZ is a Managing Company - a legal entity established in accordance with the Law of the Republic of Kazakhstan "On special economic zones in the Republic of Kazakhstan" in organizational and legal form of Joint Stock Company to ensure operation of the special economic zone. 9. The functions of the governing body of SEZ include: 1) interaction with public authorities on operational issues of SEZ; 2) provision of secondary land use (sublease) of land and lease (sublease) of infrastructure facilities to persons engaged in supplementary activities; 3) conclusion and termination of agreements to implement activities; 4) submission of the report to the authorized body on results of SEZ activities reporting SEZ in accordance with the procedure as provided for by the authorized body, on the basis of annual reports of the participants of SEZ; 5) involvement of participants of the special economic zone; 6) attracting investments for construction of infrastructure facilities and conducting other activities of the special economic zones; 7) construction of infrastructure facilities according to the approved feasibility study on lands which were not transferred to the participants of the special economic zone; 8) preparing a place for Public Service Center based on the principle of "single window"; 9) confirmation of the actual consumption of imported goods while the activities that meet the objectives for creating SEZ; 10) monitoring of terms of agreements on implementation of activities. 3. Taxation on the territory of SEZ 10. Taxation on the territory of SEZ is regulated by the tax legislation of the Republic of Kazakhstan. 4. Customs regulation 11. The territory of SEZ is a part of the customs territory of the Republic of Kazakhstan, where there is the customs regime of the customs-free zone in accordance with the customs legislation of the Republic of Kazakhstan . The boundaries of SEZ are built up along the perimeter with the help of special fences 12. Customs registration and control are conducted on the territory of SEZ in accordance with the procedure as provided for by the customs legislation of the Republic of Kazakhstan 13. List of goods required to achieve the goal of creating SEZ: 1) machinery, equipment, goods and materials needed for construction and commissioning of facilities on the territory of SEZ in accordance with the design and estimate documentation; 2) goods intended for processing (except for excisable goods), in accordance with the criteria of sufficient processing of goods; 3) machinery, equipment, special purpose vehicles, materials, goods and semi-finished goods needed for production, according to the main types of activities specified in paragraph 3 of this Regulation; 4) goods and materials needed to carry out research and development works and production in the areas defined by paragraph 2 of this Regulation. Nomenclature of goods specified in the first part of this paragraph, shall be approved by the Government of the Republic of Kazakhstan in accordance with the Foreign Economic Activity Commodity Nomenclature. Goods under the customs regime of customs-free zone can be used in the following operations on the territory of SEZ: 1) provision of goods safety; 2) goods processing; 3) operation and use of goods and equipment needed to achieve the goals of creating SEZ, in accordance with the main activities under this Regulation; 4) preparation of goods for sale and transportation; 5) meeting the requirements of construction and industrial production. 5. Procedure on terms of stay of foreign citizens on the territory of SEZ 14. There is a procedure on terms of entry, exit, transit and stay of foreign citizens and stateless persons, and their vehicles on the territory of SEZ, established by the legislation of the Republic of Kazakhstan and international treaties which involves the Republic of Kazakhstan as its member. 6. Final Provisions 15. The conditions provided by this Regulation may be changed by the Decree of the President of the Republic of Kazakhstan. 16. SEZ abolition shall be conducted in accordance with the Law of the Republic of Kazakhstan "On special economic zones in the Republic of Kazakhstan". 17. SEZ activities not regulated by this Regulation shall be conducted in accordance with the current Law of the Republic of Kazakhstan. ATTACHMENT to the Regulation on special economic zone "Park of innovative technologies", approved by the Decree of the President of the Republic of Kazakhstan dated June 18, 2003 No. 1166 Plan of the territory of the special economic zone "Park of innovative technologies" (S total = 163,02 hectares) Scale1:25 000 APPROVED BY the Decree of the President of the Republic of Kazakhstan dated August 18, 2003 No. 1116 TARGET PERFORMANCE INDICATORS and critical non-achievement level of target indicators of the special economic zone "Park of innovative technologies" Footnote. Decree is supplemented with target indicators in accordance with the Decree of the President of the Republic of Kazakhstan dated 29.12.2012 No. 457. Item No. 1 1. 1) 2) 2. 3. 4. 5. Goals, objectives and performance (names) 2 Total volume of investments, including: Volume of foreign investment Volume of domestic investment Production of goods and services (works) on the territory of special economic zone** Number of participants Number of jobs, created on the territory of special economic zone Local content share in total production on the territory of special economic zone Unit Base period (2012) Achievement by 2015 Achievement by 2020 Achievement by 2028 3 billion tenge 4 5 5 7 6 4 7 12 8 7 9 25 10 15 billion tenge - - - - - - - billion tenge 5 7 4 12 7 25 15 billion tenge 1,89 16 8 26 13 53 33 Company 46 65 60 95 90 120 100 man 1268 1688 1511 2718 2119 5826 3640 % 50 % 50 % 40 % 50 % 40 % 50 % 40 % 6. Development of information and communication technologies (ICT) by opening the research laboratories and academic departments in the field of ICT Departments 2 4 2 5 3 7 4 © 2012. RSE on PVC Republican Center of Legal Information of the Ministry of Justice of the Republic of Kazakhstan