The USAID Business Environment Improvement Project works in the Republic of Kazakhstan, the Kyrgyz Republic, and the Republic of Tajikistan. The four-year project promotes economic development by providing support to build capacity within government and the private sector to engage in effective dialogue, strengthen the free market-supporting commercial law framework, and improve implementation of business- related legal reforms and government operational improvements to reduce costs and barriers for small and medium enterprises (SMEs).

BEI works directly with national governments, oblast and city administrations, businesses, service providers, and professional and business associations to deliver the greatest positive impact for SMEs. Specific BEI activities are guided by local priorities, but the Project has the following general areas of reform activity:

BEI provides consultative assistance, training, and, in some cases, through subcontracts limited financial support to associations and select private sector partners to execute specific reform initiatives that directly contribute to improvement in the legal environment for business.

Through the Grant Program, BEI welcomes grant applications from non-commercial private sector counterparts for initiatives consistent with the BEI strategy that will produce sustained improvement in the business environment. For more information please contact your local BEI office.

BEI is active in Kazakhstan, the Kyrgyz Republic and Tajikistan, and while the project's operations in each country address local priorities, BEI has the following general areas of activity.

BEI commercial law reform activities are focused on developing a modern, free market-supporting commercial law framework. BEI works with government and private sector counterparts to draft, promote and implement codes, laws, regulations and sub-normative acts that facilitate the development of a legal regime for business that is simple, consistent and transparent. Specific initiatives include improving legal and regulatory drafting procedures to require publication, provide opportunities for private sector comment, and incorporating cost-benefit analysis and active public participation; identifying and eliminating Soviet-era acts that restrict free market entrepreneurial activity; improving access to alternative dispute resolution services, facilitating the enforcement of ADR decisions, and improving private sector contracting practices; reducing inspection frequency, increasing assertion of rights by entrepreneurs during inspections, and increasing the penalties on government agents for illegal conduct; and reducing the legal requirements for registration, licensing and other business activities.

BEI operational improvement activities focus on working with government bodies to make improvements to their operations through analysis and changes to their strategies, systems, processes, roles, and resources to improve service delivery to the private sector, yielding a better environment for business. Results of service improvements can include reductions in the time and cost required of business to complete a process, increased transparency of operations and access to information, improved compliance with laws, regulations and sub-normative acts, and consistency of service quality, level of service excellence and the duration of service usefulness. Operational improvements are done with careful consideration to systematic balance, guaranteeing that none of the improvements are made by worsening other aspects of service delivery.

The law cannot dictate every aspect of the citizen-government relationship and quality of interaction. Operational improvement ensures improvements to the legal regime manifest themselves with improvements at the point of contact. It is not necessarily dependent on legal changes, and can occur where the existing legal framework is sound, but, where problems continue to exist for businesses that do not lend themselves to a legal solution or the government has failed to fully implement. Operational improvement often clarifies the need for legal or policy change when optimum changes to strategies, systems, processes, roles, and/or resources are restricted by law or policy.

Collective private sector advocacy and mutual protection of rights is essential to promote a flourishing market economy. Building on the success of the previous USAID Trade Facilitation and Investment (TFI) Project in Central Asia, BEI is continuing the Partnership Program with select business associations. To develop both internal strength and external representative capacity BEI provides partnership with a training course supplemented by continuous consultation and integration in the regional communications network. Training courses include: effective organizational management, identifying and delivering revenue-generating services, association marketing, advocacy methodology, and effective collaboration with government.

In addition to helping associations transform into self-sustaining organizations, BEI facilitates the development of dialogue opportunities and forums between the government and private sector dedicated to identifying and addressing issues of concern to businesses to encourage government reforms that are bottom-up and driven by the needs of businesses to maximize profit and opportunity in a market economy. Through Customs Consultative Council, Tax Consultative Councils, and other dialogue forums at the city, oblast, and national levels, BEI works with government and private sector participants to engage constructive on issues that can changed to produce concrete beneficial results.