BISHKEK - Kyrgyzstan no longer uses external loans to cover budget deficits, social spending, and wage payments. This was announced by Deputy Prime Minister Daniyar Amangeldiev during a meeting with journalists as part of the "Open Cabinet" project, Akchabar.kg reports.
According to him, government borrowing is now directed only toward projects in the real sector of the economy that can generate economic returns. Previously, the country periodically used external loans to support the budget, but this practice has been discontinued.
The basis for this decision was high rates of economic growth. According to the National Statistical Committee of Kyrgyzstan, the country's GDP amounted to 602.8 billion soms in January-April 2026, an increase of 12.4%. This growth was primarily driven by industry, construction, and processing.
According to Amangeldiev, current macroeconomic indicators allow Kyrgyzstan to maintain access to external financing, but the authorities are deliberately limiting its use to infrastructure and production projects. This signifies a shift from borrowing for current expenses to an investment model.
Currently, the Kyrgyz Cabinet's actions are shifting toward attracting investments and loans related to specific economic programs.
Experts believe this approach indicates the country's strengthening financial stability. Public debt is gradually being viewed not as a means of covering budget needs, but as a tool for economic development and the implementation of major projects.
CentralasianLIGHT.org
May 18, 2026