Kyrgyzstan to reduce interest rates on state mortgage loans

Bishkek, Apr. 27, 2020. /Kabar/. State Mortgage Company OJSC is pleased to announce the reduction of interest rates on mortgage loans, offered through the Government Housing Programme by 1 percentage point from 1 May 2020.

According to the company's website, interest rates will be reduced on all mortgage loans issued before Nov. 1, 2018 from 8-10% to 7-9% per annum (depending on the down payment).

Also, interest rates on the Individual Housing Construction mechanism will be reduced from 8-12% to 7-11% per annum (11% per annum for the period of construction).

The reduction of interest rates on mortgage loans is one of the important measures to improve housing affordability.

The first mortgage loans under the 2015- 2020 Affordable Housing Programme were issued at the rates of 12-14% per annum.

At present, the State Mortgage Company is working to ensure transparency of the mortgage lending process.