CIVIL LAW AND CIVIL PROCEDURE

Institutional and Legal Challenges in Ensuring the Legal Protection of Foreign Investments in Kazakhstan: an Analysis of International and National Regulatory Mechanisms

Abstract

The article provides a comprehensive analysis of international legal and national mechanisms for the protection of foreign investors’ rights in the Republic of Kazakhstan in the context of a sixfold increase in foreign direct investment over the past two decades. The relevance of the study is обусловлена the persistent gap between formal legislative guarantees and law enforcement practice, which generates systemic risks for the investment attractiveness of the jurisdiction. The methodological framework includes formal-legal, comparative-legal, and institutional approaches, as well as an analysis of judicial statistics and arbitral awards for the period 2020–2025. The study examines key international conventions (ICSID and MIGA), the activities of the Astana International Financial Centre Court, and systemic deficiencies in national administrative justice, including a high rate of losses by state authorities in courts and conflicts among subordinate normative acts. Particular attention is paid to Presidential Decree No. 1125 of December 17, 2025, which is assessed in terms of the consolidation of supervisory and preventive functions within a unified Committee for the Protection of Investors’ Rights. Alongside the potential advantages of the reform (a shift toward pre-trial dispute resolution), implicit risks are also identified (excessive concentration of powers and the absence of clearly defined procedural time limits). The conclusion proposes specific legal, procedural, and institutional measures aimed at harmonizing legislation and enhancing the effectiveness of investor protection, which constitutes a necessary condition for sustainable economic growth.