Kyrgyzstan has stopped borrowing to support the budget — Amangeldiev

Kyrgyzstan is no longer taking out loans to support the budget, fund social spending or pay salaries. This was stated by Deputy Prime Minister Daniyar Amangeldiev during a meeting with journalists as part of the ‘Open Cabinet’ project.

According to him, the structure of government borrowing has changed, and funds raised are now channelled solely into the real sector of the economy and projects with a return on investment.

“Usually, there is a shortfall in the first year, and we used to take out certain loans to support the budget. As of today, we are not borrowing to support the budget,” said Amangeldiev.

He noted that the sustainability of external debt is now closely linked to economic growth and an increase in the country’s GDP. According to the official, current economic indicators allow Kyrgyzstan to attract additional borrowing, but the authorities have decided to restrict its use solely to economic projects.

Amangeldiev also recalled that Kyrgyzstan had previously regularly sought grants and external budget support during the president’s visits abroad.