BISHKEK - Kyrgyzstan is working to liquidate 50 legal entities that, according to Western partners, may have been involved in transactions with high sanctions risks. This was announced by Bakyt Sydykov, Special Presidential Representative for Sanctions Policy and Minister of Economy and Commerce, reports 24.kg.
Since 2023, he stated, the country has been actively engaged in dialogue with the United States, the European Union, and the United Kingdom on compliance with international sanctions regimes and preventing their circumvention through third countries. As part of this cooperation, Kyrgyz authorities are taking measures to increase the transparency of the financial and economic system and strengthen oversight over certain sectors of the economy.
"At the request of Western partners, work is currently underway to liquidate 50 legal entities that, in their opinion, may have been involved in transactions with high sanctions risks," the minister noted.
Authorities are paying particular attention to the virtual asset and cryptocurrency markets. As Bakyt Sydykov emphasized, the development of digital financial technologies creates new opportunities for the economy, but simultaneously increases the risks associated with money laundering, financing illegal activities, and circumventing sanctions.
To strengthen government oversight, the National Agency on Virtual Assets and Blockchain Technologies under the President of Kyrgyzstan was established. Furthermore, government agencies are improving legislation in line with FATF recommendations and implementing modern tools for monitoring blockchain transactions.
In recent years, a number of Kyrgyz financial and commercial entities have been subject to sanctions from the US, the European Union, the UK, and Canada. Specifically, restrictions were imposed on Kapital Bank of Central Asia, Tolubai Bank, the Eurasian Savings Bank, the A7 payment platform, and the Grinex and Meer cryptocurrency exchanges. As part of the 20th EU sanctions package, restrictions also affected the Bishkek-registered cryptocurrency platform TengriCoin, Keremet Bank, and Kapital Bank.
At the same time, Kyrgyz authorities have repeatedly stated that they consider a number of sanctions against domestic companies and banks unjustified. Bishkek advocates for an objective and balanced approach to sanctions policy, emphasizing that the consequences of restrictions should not extend to third countries or bona fide participants in international trade.
According to Bakyt Sydykov, the country intends to continue cooperation with international partners on financial security, combating illegal transactions, and compliance with international obligations.
CentralasianLIGHT.org
June 12, 2026