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Following independence in 1991, Kyrgyzstan began carrying out market reforms, including establishing an improved regulatory system. In 1998, Kyrgyzstan became the first Commonwealth of Independent States country to be accepted into the World Trade Organization. However, impediments to development remain, including low foreign investment, high unemployment, corruption and endemic poverty. Approximately one-third of the Kyrgyz Republic’s workforce is employed abroad, reducing the pool of qualified labor and the availability of services.
USAID’s assistance to the Kyrgyz Republic has helped the country achieve substantial progress in its economic growth. USAID assists the Government in the implementation of its economic policy reform agenda to have the greatest impact on business development, economic growth, and job creation. In addition, USAID focuses on developing the human and institutional capacity of Kyrgyzstan’s governmental and private sector institutions, key contributors to implementing economic policy reforms.
USAID also supports the Government in its Energy Security and Efficiency policy agenda. This includes the promotion of energy sector reforms in the short-term to maintain reliable electricity service in Kyrgyzstan, particularly in assuring a secure supply in winter and dry years, as well as in developing a regional energy market that would make the development of the country’s vast hydropower resources feasible and profitable. USAID is also focusing on developing the human and institutional capacity of the energy sector to implement the Government’s policy objectives to reduce corruption and increase efficiency.
Last updated: February 19, 2014