The first billion in ten years, the second in five: the RKDF is stepping up investment in Kyrgyzstan

The Russian-Kyrgyz Development Fund intends to allocate a further $1 billion to finance Kyrgyzstan’s economy by 2030. Artem Novikov, Chairman of the Board of the Russian-Kyrgyz Development Fund, made this announcement at the plenary session entitled ‘The Strategic Partnership between Kyrgyzstan and Russia: Priorities for 2030’.

“Whilst it took the Fund ten years to reach the first billion dollars in funding, we intend to invest the next billion in Kyrgyzstan’s economy by 2030 — in just five years,” said Novikov.

According to him, achieving this goal will mark a qualitatively new level of the Fund’s involvement in the country’s development. The RKDF must not only finance individual enterprises, but also bring together the state, the business sector and investors to implement major projects.

Novikov noted that the current pace of growth in Kyrgyzstan’s economy requires an increase in the scale of investment, the development of industrial cooperation and the launch of joint initiatives.

At the same time, the Fund plans to double its equity capital to $1 billion. According to the head of the RKDF, the relevant decisions have already been taken by the presidents and finalised by the cabinets of ministers of Kyrgyzstan and Russia.

The intention is to increase capital not only through shareholder contributions. The Fund is working to improve its returns and profitability, as well as to attract external financing.

“When the RKDF was established, one of the main objectives was to preserve its capital. Over the past ten years, the Fund has not only preserved its initial capital but has also earned over $100 million, channelling the resulting income towards further capital growth,” added Novikov.

According to him, by 2030 the RKDF is set to become one of the main platforms for implementing the Kyrgyz-Russian investment agenda.