Kyrgyzstan Proposes to Fine Employers for Paying Wages in Cash

The Kyrgyz Ministry of Economy has proposed introducing fines for legal entities for paying salaries in cash. The relevant draft law has already been submitted to the parliament, the Jogorku Kenesh, for consideration. According to the law, wages shall be paid in non-cash form except in cases of force majeure, emergency, or disaster, as well as certain types of activities or in certain territories of the country. Employers who fail to fulfill the requirement to pay wages in non-cash form can be fined 5,000 soms ($59.2). The new article, proposed to the Code of Offenses, aims to combat the shadow economy and encourage the transition to non-cash payments. In general, the country has already developed several measures for this purpose. Among them is the installation of online cash registers in retail outlets and service enterprises. In 2022, about 65,000 online cash registers were installed in the country, a significant step towards transparency of financial flows. In addition, the government is utilizing tax incentives and developing an e-invoicing system, which helps track transactions and increase tax revenues.

Kyrgyzstan Raises Doctors’ Salaries

The First Deputy Minister of Health of Kyrgyzstan, Mederbek Ismailov has newly announced that medical workers' wages will be raised by 10 -50 percent from September this year. Selected specialists will also receive bonuses of up to 20,000 KGS ($220). "The ministry will work directly to raise medics' salaries. We will review tables of staffing and workloads over the past two years and depending on results, may raise salaries," commented a ministry spokesman, adding that the average doctor's salary will rise to 35,000 KGS ($400) after the increase. Local MPs, however, expressed their dissatisfaction with the government's decision, deeming the rises in medical workers' salaries inadequate. "The health minister promised us that doctors would receive 80,000 KGS ($900) each," complained MP Vinera Raimbachayeva.