Published
11/28/2025, 16:04The National Bank of Kyrgyzstan has published a recent review of cash circulation. According to the review, demand for cash in the country continues to grow, and the structure of circulation is increasingly shifting in favor of money circulating outside the banking system.
As of October 1, 290.2 billion KGS were in circulation in the economy. This is a quarter more than a year earlier. Moreover, the key part — 263.5 billion KGS — is outside banks. Only 26.6 billion KGS are held in the cash registers of commercial banks.
This distribution is not new, but the trend is intensifying. The growth over the year — almost 52 billion KGS — indicates that cash continues to play a decisive role in the economy.
In July–September, banks accepted 1 trillion 486 billion KGS from the population and businesses. This is 4.5% more than a year earlier. However, they issued even more — 1 trillion 505 billion KGS (+4.7%). This means that slightly more money is “going” into circulation than is being returned, and this has been the case for more than one quarter.
This is a sign that people are spending more actively, but increasingly in cash. On average, the cash return rate across the country was 98.8% — a decrease compared to last year, but the figure remains high nonetheless.
At the same time, the picture is mixed across regions:
| Region | Q3 2024 | Q3 2025 | Deviation |
|---|---|---|---|
| Total for the republic | 98.9% | 98.8% | -0.1 |
| Bishkek | 100.1% | 100% | -0.1 |
| Batken region | 100.2% | 100.5% | +0.3 |
| Jalal-Abad Region | 95.3% | 94.8% | -0.5 |
| Issyk-Kul Region | 97.9% | 98.5% | +0.6 |
| Naryn Region | 96.2% | 96.1% | -0,1 |
| Osh Region | 100.3% | 100.1% | -0.2 |
| Osh | 96.3% | 95.2% | -1.1 |
| Talas Region | 93.8% | 94.6% | +0.8 |
| Chui Region | 99.6% | 100.2% | +0.6 |
The variation is explained by a combination of factors, such as the resort season, migration flows, transport activity, and the specifics of regional trade. But in any case, the increase in the total money supply outside banks indicates both growth in economic activity and the fact that a significant part of transactions still bypass digital channels.
