As stated in the report, "Kyrgyzstan emerged as the fastest-growing economy in Central Asia in 2025." The main factors behind this growth were increased domestic demand and investments, which managed to offset the sharp decline in export volumes. Activity in the construction sector grew by 21.1% compared to the previous year, thanks to investments in transport, storage, energy, and mining infrastructure.
Industry also showed positive results, increasing by 10.6% year-on-year due to growth in the manufacturing and mining sectors. High levels of household consumption were supported by active lending, rising real incomes, and significant remittances.
However, the EBRD notes that high consumer demand and rising utility tariffs have led to a resurgence of inflationary pressure, which reached 9.4% by the end of January - December 2025. After several months of rising inflation, a tightening of monetary policy was adopted in mid-2025: the National Bank of Kyrgyzstan raised its key interest rate by 200 basis points, bringing it to 11% by November 2025. Meanwhile, fiscal indicators remained strong, with the budget showing a surplus due to stable revenue growth. International reserves strengthened, reaching $8.6 billion by the end of the year, creating a reliable buffer against external shocks.
The EBRD also forecasts that the economy will continue to grow steadily in the coming years. The recovery of exports and the implementation of large-scale infrastructure projects should contribute to attracting investments, improving transport accessibility, and sustaining growth. However, inflationary pressure remains a significant risk to growth rates.
The Ministry of Economy of Kyrgyzstan, for its part, expects the republic's GDP to grow by 8.6% in 2026.
