S&P set Kyrgyzstan's credit rating at B+

The Kyrgyz Republic announces the successful assignment of a new credit rating of B+ by the international rating agency S&P Global Ratings with a "Stable" outlook.

This significant achievement is the result of large-scale structural reforms carried out in the country in recent years, aimed at stimulating business activity, supporting strategic industries, modernising infrastructure, improving the investment climate, developing a competitive environment and implementing institutional reforms, and testifies to the high level of economic development, effective management and transparency of the policy.

The S&P Global Ratings report notes that successful reorientation of regional trade and strengthening of domestic demand allowed Kyrgyzstan to achieve real GDP growth of 9% over the period 2022-2024. In addition, a significant increase in domestic consumption by 15% and a decline in the unemployment rate to 4% in 2024 demonstrate positive dynamics in the labour market and stability of the economic environment. The agency also forecasts the current account deficit at 5.5% of GDP, which is moderate against the background of growing international reserves. In addition, high dynamics of growth in capitalisation of the banking sector was noted.

S&P emphasises that steady demographic growth of about 2% per year creates additional prerequisites for the country's long-term economic potential. Stable fiscal position, moderate level of public debt and high quality of ongoing reforms were also highly appreciated by the agency.

The B+ rating is an important step to strengthen Kyrgyzstan's position in international financial markets, opening up new opportunities for the corporate sector. The country's companies will now be able to be internationally rated and attract financing by accessing global capital markets.

In addition, the credit rating upgrade creates favourable conditions for the debut issue of sovereign Eurobonds, as well as contributes to further economic growth and increases international investors' confidence in the Kyrgyz Republic.