Kyrgyz Government Ramps Up Aid For Exporters As Overseas Trade Falls

Kyrgyz authorities are directing new resources at companies that sell goods abroad as foreign trade contracts sharply. During a March 24 meeting of the Export Development Council, First Deputy Chairman Daniyar Amangeldiyev said increasing overseas shipments has been elevated to a top economic aim, and officials outlined a series of short-term interventions to shore up exporters’ competitiveness.

Among the measures under consideration is a pilot scheme to reimburse part of transport and logistics expenses, intended to lower the landed cost of Kyrgyz products in foreign markets. Officials also proposed a preferential lending window, labeled Export Contract Financing, to ease working-capital pressures. That facility would be supported by insurance products and state guarantees to reduce lenders’ exposure.

The moves come against a backdrop of weakening trade figures. Data from the National Statistical Committee show that exports slipped by about one-fifth in January 2026 while imports rose by roughly one-sixteenth. For 2025 as a whole, outbound shipments fell by nearly one-half and inbound purchases increased by about one‑twenty‑fifth; total foreign trade turnover stood at $15.8 billion, down by about one-ninth from 2024.

Kyrgyz export destinations remain clustered, increasing risk if demand softens among major partners. Last year nearly one-quarter of exports went to Russia; roughly one-sixth each went to Kazakhstan and Switzerland; about one-seventh to Uzbekistan; and just under one-twelfth to the United Kingdom. On the import side, China supplied about two-fifths of the country’s purchases, followed by Russia at about one-quarter and Kazakhstan at one-tenth.

A large part of the export slump stems from a collapse in gold shipments. The Ministry of Economy reports that gold exports fell to roughly one-quarter of their previous level in 2025 and accounted for about one-quarter of total merchandise exports, underscoring the country’s reliance on a single commodity. Weaker demand in neighboring markets and temporary state curbs on certain outbound goods, including scrap metal and live animals, also helped drive the downturn.

Economists caution that the proposed supports may ease immediate cash-flow problems but won’t fix deeper weaknesses. A regional trade analyst suggested Kyrgyzstan needs faster development of processing industries, broader market access and improved transport links to reduce dependence on a handful of buyers. For now, officials say the priority is to keep exporters afloat while designing longer-term reforms.