In Kyrgyzstan, World Bank vice president highlights need for new growth model


BISHKEK (TCA) — World Bank Vice President for Europe and Central Asia Cyril Muller on January 16 met with Kyrgyzstan President Sooronbai Jeenbekov, Prime Minister Sapar Isakov and Minister of Finance Adylbek Kasymaliev to discuss Kyrgyzstan’s development priorities and the World Bank Group’s cooperation with the country. During his visit, Mr. Muller reaffirmed the World Bank Group’s continued commitment to helping the country achieve sustained and inclusive economic growth.

“The Kyrgyz Republic has made impressive strides in reducing poverty since the early 1990s, with the share of the population living in poverty being today half of what it was in 1995. At the same time, our analysis shows that a large majority of the population remains vulnerable to economic shocks and risks falling back into poverty,” said Cyril Muller. “For the majority of the population to join the middle class will require economic growth that translates into opportunities and better jobs. The World Bank Group looks forward to continuing its close partnership with the Kyrgyz Republic to foster private sector-led growth that benefits all citizens.”

Mr. Muller’s visit takes place as the World Bank Group is preparing a new Country Partnership Framework to guide its engagement with the Kyrgyz Republic in the period 2018-2023. Based on the findings of the Systematic Country Diagnostic – an analysis of the opportunities and obstacles to reduce poverty and boost shared prosperity in the country – the new Framework will incorporate the Kyrgyz Government’s priorities as defined in the National Sustainable Development Strategy 2018-2040 and “Kyrk Kadam” (40 Steps) program.

“Under the forthcoming Partnership Framework, the World Bank Group would like to support the Government in improving economic management, grow the private sector, and help harness the energy sector’s tremendous potential. The World Bank will also support the country’s efforts to mitigate and adapt to climate change, improve regional connectivity and support the digital transformation agenda,” said Cyril Muller.

During his visit, Cyril Muller also met with representatives of the business community and media.

The Bank’s financial assistance to the Kyrgyz Republic since 1992 amounts to over US$1.5 billion in the form of grants and highly concessional credits. Fifty percent of the World Bank’s assistance to the Kyrgyz Republic is in the form of grants, which require no repayment. The other 50 percent is credits with no interest and a 0.75 percent service charge repayable over 38 years, including a 6-year grace period.

Sergey Kwan