BISHKEK - The downward trend in dollarization in the banking sector in Kyrgyzstan continues. According to the National Bank of Kyrgyzstan, by the end of March 2026, the share of foreign currency loans had fallen to 18%, while the share of foreign currency deposits had decreased to 31.3%, reports Akchabar.kg.
The most noticeable changes occurred in the structure of deposits. Since the beginning of the year, the level of deposit dollarization has decreased from 34.8% to 31.3%, indicating growing public and business confidence in the national currency and an increase in savings in soms.
The decline in the loan portfolio was less pronounced. The share of foreign currency loans in the first three months of the year decreased by 0.3 percentage points to 18%.
At the same time, the banking sector has demonstrated steady growth in key indicators. Customer deposits reached 916.5 billion soms ($10.5 billion), an increase of 50.3 billion soms, or 5.8%, year-to-date. For comparison, the deposit base at the end of 2025 was 866.2 billion soms ($9.9 billion).
Positive trends are also observed in lending. The total loan portfolio of banks increased by 33.1 billion soms, or 6.5%, to 540.1 billion soms, compared to 507 billion soms at the end of last year.
The decline in dollarization, along with the growth in deposits and loans, indicates a strengthening of the national currency's role and the continued development of the country's banking sector.
CentralasianLIGHT.org
June 3, 2026