Bishkek, June 12, 2026 /Kabar/. President Sadyr Zhaparov signed the Law of the Kyrgyz Republic "On Amendments to the Civil Code."
The law was adopted by Jogorku Kenesh on April 30, 2026.
The purpose of the law is to optimize the provisions of the Civil Code of the Kyrgyz Republic, providing for the application of Islamic principles of banking and finance.
In particular, the law provides for:
– permitting the registration of ownership rights in murabaha transactions directly to the client;
– expanding the definition of diminishing musharaka as a form of joint property acquisition;
– providing the opportunity to expand the list of Islamic financial instruments through bylaws.
Note: According to the conceptual framework of the Procedure for Accounting for Murabaha Transactions, approved by Resolution No. 2021-P-12/75-2-(NPA) of the National Bank of the Kyrgyz Republic dated December 29, 2021, murabahah is defined as the installment sale of an asset (goods) acquired by the bank at the client's request or owned by the bank at the time of the client's request.
According to Article 73816 of the Civil Code of the Kyrgyz Republic, a sharika/musharaka agreement is defined as a partnership agreement between two or more parties, whereby each partner contributes a specified sum of money or, with the consent of all partners, tangible assets. This gives each partner the right to conduct business using the company's assets under the terms of profit sharing in accordance with the sharika/musharaka agreement, with each partner bearing losses in proportion to their contribution to the company's total capital.