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Ease of Doing Business in

Kazakhstan

Kazakhstan Download Profile (1810.4KB, pdf)
Region Europe & Central Asia
Income Category Upper middle income
Population 17,544,126
GNI Per Capita (US$) 11,580
City covered Almaty

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 35 51 up
16
75.09 70.45 down
4.64
Starting a Business 45 54 up
9
91.94 89.95 up
1.99
Dealing with Construction Permits 22 78 up
56
79.05 69.93 up
9.12
Getting Electricity 75 102 up
27
73.64 64.81 up
8.83
Registering Property 18 18
-
83.72 83.59 up
0.13
Getting Credit 75 70 down
5
55.00 55.00
-
Protecting Minority Investors 3 25 up
22
80.00 66.67 up
13.33
Paying Taxes 60 57 down
3
79.54 79.54
-
Trading across Borders 119 128 up
9
63.19 60.39 up
2.80
Enforcing Contracts 9 9
-
75.70 75.70
-
Resolving Insolvency 37 46 up
9
69.17 58.97 up
10.20

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

18

DB 2016 Rank:

18

Change in Rank:

0

DB 2017 DTF (% points):

83.72

DB 2016 DTF (% points):

83.59

Change in DTF (% points):

up0.13

STANDARD PROPERTY TRANSFER
Property value KZT 109,192,930
City Almaty
Indicator Kazakhstan Europe & Central Asia OECD high income
Procedures (number) info_outline 3 5.3 4.7
Time (days) info_outline 3.5 20.6 22.4
Cost (% of property value) info_outline 0.1 2.5 4.2
Quality of the land administration index (0-30) info_outline 16 19.8 22.7
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Obtain a non-encumbrance certificate

    Agency: 1) The Republican State Enterprise with the Right of Economic Management "Public Service Center" of the Committee for Automation Control of Public Services and Coordination of Service Centers of the Ministry of Transport and Communications of the Republic of Kazakhstan. 2) Web portal of "Electronic Government": www.egov.kz 3) Notaries, via the unified notary information system.

    The Resolution of the Government of the Republic of Kazakhstan "On Approval of Standards of State Services" No. 1586 dated December 31, 2013 introduced the new Standard of State Service "Issuance of Certificates on Registered Rights (Encumbrances) to Immovable Property and its Technical Characteristics". According to the Resolution, the Non-Encumbrance Certificate is issued via Public Service Centers or via the web portal of "electronic government" at www.egov.kz. The state service is rendered in "electronic" queue, without accelerated service, booking of electronic queue by portal is possible, at the same time documents acceptance is performed in the operating hall by "barrier-free" service; via a web portal of "electronic government" at www.egov.kz round the clock, except for service breaks in connection with carrying out of repair works.

    Less than one day (online procedure)

    2 working days (regular procedure)

    (simultaneous with procedure 1)
    no cost
    2

    Notarization of a sale-purchase agreement

    Agency: Notaries

    According to Article 536, paragraph 1 of the Tax Code No.99-IV dated December 10, 2008, which came into effect January 1, 2009, if at least one of the parties entering into a sale and purchase agreement is a legal entity, notarization of the transaction shall cost one thousand (1,000) percent of the monthly calculation index (MCI).

    In accordance with the Law of the Republic of Kazakhstan "On Notariat" No. 155-I of 14 July 1997 and the Code of the Republic of Kazakhstan "On Taxes and Other Mandatory Payments to the Budget (Tax Code)" No. 99-IV of 10 December 2008, the following fees must be paid for notarization of an agreement on sale and purchase of immovable property (when one of its parties is a legal entity and the property sold under it is located in an urban area):
    (1) a mandatory notary fee in the amount of 10 times the monthly calculation index ("MCI") and
    (2) an additional notary fee for actions of technical nature in the amount of 7 times the MCI.

    Under the Law of the Republic of Kazakhstan "On National Budget for 2016-2018" No. 426-V of 30 November 2015, 1 MCI equals to KZT 2,121. Hence, 10 times the MCI equals to KZT 21,210 and 7 times the MCI equals to KZT 14,847.

    1 calendar day For notarization of sale and purchase agreement:
    1000 % of monthly calculated index (MCI) or KZT 21210 is paid as state duty and 7 MCI or KZT 14847 as a notary payment. Total cost is equal KZT 36057.
    3

    Registration of the title at the Registration Service Committee

    Agency: The Registration Service Committee or Centers for Real Estate

    The Resolution of the Government of the Republic of Kazakhstan "On approval of Standards of State Services" No.1586 dated 31 December 2013 became invalid according to Decree of the Government of the Republic of Kazakhstan # 751 on 7 September 2015. The new law introduced new standards and time limits for the process of registering property rights (encumbrances). The new standards are stipulated in the Article 20.2 of the Law of the Republic of Kazakhstan dated 26 July 2007 № 310-III «Оn state registration of title on immovable property» (http://online.zakon.kz/Document/?doc_id=30118294).

    Summary of new standards is here:
    In accordance with the new Standard, the registration of rights to immovable property is carried out by the territorial justice authorities at the place of location of the property (for Almaty, it is the Department of Justice of the city of Almaty). Applications for the registration are submitted via
    (1) the Non-commercial Joint Stock Company "State Corporation "The Government for Citizens" or
    (2) via the internet portal of "electronic government" at www.egov.kz.;
    (3) by notary, who can register a title on immovable property at the time of notarization of agreement on disposition of the property. Notary begin the online procedure in the Notary Informational System system by sending copies of all documents of entitlement to the the Legal Cadastre System, then new owner of the property pays the state duty and then registering authority registers the new title on the property via Legal Cadastre System.

    Applications for the registration can be submitted via the internet portal of "electronic government" at www.egov.kz only by notaries who notarized the underlying sale and purchase agreements.

    When an application for the registration is submitted via the Non-commercial Joint Stock Company "State Corporation "The Government for Citizens", the registration is to be carried out within
    (1) five working days after the submission of the application - in case of a regular procedure and
    (2) one working day after the submission of the application - in case of expedited procedure.

    When an application for the registration is submitted via the internet portal of "electronic government" at www.egov.kz, the registration is to carried out within one working day after the payment of the registration fee, which, in turn, is to be made within three working days after the submission of the application.

    The documents required for completion of the registration via the Non-commercial Joint Stock Company "State Corporation "The Government for Citizens":
    - a standard application form;
    - a sale and purchase agreement;
    - an identification document in respect of the land plot (i.e. a land plot act);
    - a document confirming payment of the registration fee;
    - constituent documents of the parties to a sale and purchase agreement;and
    - corporate resolutions of the parties to a sale and purchase agreement approving the transaction (when such documents are required either by law or by constituent documents of the parties).

    The information/documents required for completion of the registration via the internet portal of "electronic government" at www.egov.kz:
    - an online application (certified by the digital signature of a notary);
    - a sale and purchase agreement;
    - confirmation of payment of the registration free; and
    - e-mails of the parties to a sale and purchase agreement (if available).

    According to Article 21.2 of the Law of the Republic of Kazakhstan dated 26 July 2007 № 310-III «Оn state registration of title on immovable property», documentation for the registration of title on immovable property via notary shall include:
    1) A filled in standard application form;
    2) Document confirming paid state duty.

    5 working days (regular procedure),
    1 working day (expedited),
    1 working day (online)
    1 working day (via notary)
    10 MCI or KZT 21210 (regular procedure)
    or 30 MCI, i.e. KZT 63630 (expedited)

  • Measure of quality
    Answer Score
    Quality of the land administration index (0-30) 16.0
    Reliability of infrastructure index (0-8) 6.0
    What is the institution in charge of immovable property registration? Department of Justice of Almaty city
    In what format are the majority of title or deed records kept in the largest business city—in a paper format or in a computerized format (scanned or fully digital)? Computer/Scanned 1.0
    Is there an electronic database for checking for encumbrances (liens, mortgages, restrictions and the like)? Yes 1.0
    In what format are the majority of maps of land plots kept in the largest business city—in a paper format or in a computerized format (scanned or fully digital)? Computer/Scanned 1.0
    Is there an electronic database for recording boundaries, checking plans and providing cadastral information (geographic information system)? Yes 1.0
    Is the information recorded by the immovable property registration agency and the cadastral or mapping agency kept in a single database, in different but linked databases or in separate databases? Different databases but linked 1.0
    Do the immovable property registration agency and cadastral or mapping agency use the same identification number for properties? Yes 1.0
    Transparency of information index (0–6) 3.0
    Who is able to obtain information on land ownership at the agency in charge of immovable property registration in the largest business city? Only intermediaries and interested parties 0.0
    Is the list of documents that are required to complete any type of property transaction made publicly available–and if so, how? Yes, online 0.5
    Link for online access: http://online.zakon.kz/Document/?doc_id=30118294#sub_id=210000
    Is the applicable fee schedule for any property transaction at the agency in charge of immovable property registration in the largest business city made publicly available–and if so, how? Yes, online 0.5
    Link for online access: https://tengrinews.kz/zakon/pravitelstvo_respubliki_kazahstan_premer_minist...
    Does the agency in charge of immovable property registration commit to delivering a legally binding document that proves property ownership within a specific time frame–and if so, how does it communicate the service standard? Yes, online 0.5
    Link for online access: https://tengrinews.kz/zakon/pravitelstvo_respubliki_kazahstan_premer_minist...
    Is there a specific and separate mechanism for filing complaints about a problem that occurred at the agency in charge of immovable property registration? Yes 1.0
    Are there publicly available official statistics tracking the number of transactions at the immovable property registration agency? Yes 0.5
    Number of property transfers in the largest business city in 2015: According to the statistics data of the Notary Chamber of Almaty city for 2015 the number of transfers to the ownership is 37 755. From them purchase and sell: - non-residential premises – 3134 - plots of land - 4305 - apartments - 24439 - residential building- 5877, consequently, the notaries performed electronic registration of rights to immovable property according to the above data
    Who is able to consult maps of land plots in the largest business city? Only intermediaries and interested parties 0.0
    Is the applicable fee schedule for accessing maps of land plots made publicly available—and if so, how? No 0.0
    Link for online access:
    Does the cadastral or mapping agency commit to delivering an updated map within a specific time frame—and if so, how does it communicate the service standard? Yes, in person 0.0
    Link for online access:
    Is there a specific and separate mechanism for filing complaints about a problem that occurred at the cadastral or mapping agency? No 0.0
    Geographic coverage index (0–8) 0.0
    Are all privately held land plots in the economy formally registered at the immovable property registry? No 0.0
    Are all privately held land plots in the largest business city formally registered at the immovable property registry? No 0.0
    Are all privately held land plots in the economy mapped? No 0.0
    Are all privately held land plots in the largest business city mapped? No 0.0
    Land dispute resolution index (0–8) 7.0
    Does the law require that all property sale transactions be registered at the immovable property registry to make them opposable to third parties? Yes 1.5
    Is the system of immovable property registration subject to a state or private guarantee? No 0.0
    Is there a specific compensation mechanism to cover for losses incurred by parties who engaged in good faith in a property transaction based on erroneous information certified by the immovable property registry? Yes 0.5
    Does the legal system require a control of legality of the documents necessary for a property transaction (e.g., checking the compliance of contracts with requirements of the law)? Yes 0.5
    If yes, who is responsible for checking the legality of the documents? Registrar; Notary.
    Does the legal system require verification of the identity of the parties to a property transaction? Yes 0.5
    If yes, who is responsible for verifying the identity of the parties? Registrar; Notary; Lawyer.
    Is there a national database to verify the accuracy of identity documents? Yes 1.0
    For a standard land dispute between two local businesses over tenure rights of a property worth 50 times gross national income (GNI) per capita and located in the largest business city, what court would be in charge of the case in the first instance? Special Interdistrict Economic Court of Almaty city
    How long does it take on average to obtain a decision from the first-instance court for such a case (without appeal)? Less than a year 3.0
    Are there any statistics on the number of land disputes in the first instance? No 0.0
    Number of land disputes in the largest business city in 2015:
    Equal access to property rights index (-2–0) 0.0
    Do unmarried men and unmarried women have equal ownership rights to property? Yes 0.0
    Do married men and married women have equal ownership rights to property? Yes 0.0