Positive trend of economic growth observed in Kyrgyzstan this year: minister

Bishkek, Dec. 21, 2021 . / Kabar /. For 10 months of 2021 a positive trend of economic growth is observed, Kyrgyzstan’s Minister of Economy and Commerce Daniyar Amangeldiev said Tuesday during an online briefing on the results of socio-economic development of the country for 10 months of 2021.

The minister added that this year, as a result of prompt measures taken and the implementation of medium-term development programs the process of recovery of economic activity and for 10 months of 2021 there is a positive trend of economic growth.

According to the results for January-October of this year, the growth of real GDP reached a positive mark at 1.6 %. Excluding enterprises for the development of the Kumtor deposit, GDP growth amounted to 4.1 %.

There is a confident recovery in some spheres of services: the growth of trade by 10.9 %, transport services - 20.2 %, hotels and restaurants - 13.2 %, communications - by 12.4 %.

The restraining factor was a 4.4% decline in agriculture and a 5% decline in construction. Abnormally high summer temperatures this year and the lack of irrigation water during the growing season led to a decrease in the yield of crops.

In order to support the most affected sectors of the economy, small and medium-sized businesses, and the population, the necessary set of fiscal and financial measures has been adopted, which will lead to the recovery of the volumes lost during the pandemic. Anti-crisis plan of the Cabinet of Ministers has been adopted, which continues to be implemented.

As a result, state budget revenues (for 10 months of this year) amounted to KGS 164.1 billion, which allowed to reach a surplus of KGS 3.7 billion (for the corresponding period in 2020 the budget deficit amounted to KGS 16 billion).

Also this year, in order to ensure economic sustainability, create a favorable and safe environment for the development of business and preserve social stability, the Priority Action Plan of the Government of Kyrgyzstan was approved in February 2021, the main directions of which were aimed at: creating favorable conditions for the population; creating favorable conditions for business; responding to urgent issues/calls (critical issues from the population); replenishing the revenue side of the budget; urgent measures.