Kyrgyzstan has started to repay its foreign creditors more than it borrows

Over the past eight months, Kyrgyzstan has not received a net inflow of external funds to finance its budget — on the contrary, the country has spent more on servicing its debts than it has raised.

Whilst a year ago external financing brought 48.6 billion KGS into the budget, in January–August 2026 it resulted in a deficit of 4.4 billion KGS.

During the same period last year, the budget received 71.5 billion KGS in external liabilities and allocated 22.9 billion KGS to service them. This difference resulted in a net inflow of 48.6 billion KGS.

This year, the volume of new external liabilities has fallen by almost four times – to 18.1 billion KGS. Meanwhile, repayments remained virtually unchanged at 22.5 billion KGS. In other words, for every KGS of external funds raised, the budget allocated around 1.24 KGS to repay previously incurred liabilities.

Over the year, external funding inflows fell by 53.4 billion KGS, or 74.7 per cent. Repayment expenditure fell by only 1.8 per cent.