Kyrgyzstan has allocated over 55 billion KGS to service its national debt

Over nine months, Kyrgyzstan spent 55.53 billion KGS on servicing its public debt, both domestic and foreign. These figures were published by the Ministry of Finance.

Of this amount, 32.9 billion KGS was spent on foreign debt and 22.6 billion KGS on domestic debt. The expenses include payments on the principal, interest and other obligations.

According to the ministry, in January-September, the state paid:

• on external debt — 28.42 billion KGS of principal and 4.45 billion KGS of interest;
• for domestic debt, 11.92 billion KGS in principal and 10.69 billion KGS in interest.

Thus, about 73% of all payments were for principal repayment, and the remaining funds were for interest and servicing.

Debt servicing remains one of the largest items of expenditure in the republican budget. At the same time, the share of domestic debt in the overall structure of payments is gradually increasing. Moreover, the country spends 2.4 times more on interest payments on government securities than on interest on external debt.