He noted that there are many potential investors; however, Kyrgyzstan is facing financial difficulties amounting to $37 million, which arose from previous contracts. "These funds are 'stuck' with us due to unfulfilled projects, and the matter has gone to international court, where the opposing party is the Russian company RusHydro," Japarov added.
According to him, the debt amount, including penalties, has increased to $51 million. "Currently, we are continuing negotiations, but this issue remains relevant. The negotiations are ongoing, and with God's help, we hope to resolve it by 2026," he emphasized.
The head of state clarified that the contract is not yet expired, so the previous unilateral cancellation led to the necessity of paying the specified amount. "Whether we want it or not, we will have to pay," the president said.
History of the Issue
In 2012, Kyrgyzstan and Russia signed an agreement to construct a cascade of four HPPs on the Naryn River, with the Russian side represented by the company RusHydro. The construction operator became the joint company "Upper Naryn HPPs," created in partnership between RusHydro and the Kyrgyz state company "Electric Stations." The start of construction was scheduled for October 2014, and the completion of the entire cascade was expected in 2019.
However, in 2015, the project faced serious difficulties: the Kyrgyz side accused RusHydro of failing to meet financial obligations and delaying deadlines, even though the company had already invested about $37 million in the project.
In January 2016, then-President of Kyrgyzstan Almazbek Atambayev signed a law on the denunciation of the agreement with Russia, which came into effect in August of the same year, suspending project research and construction work.
In February 2022, a long-standing conflict between Kyrgyzstan and RusHydro was resolved.
On April 9, 2025, Sergey Machekhin, Deputy General Director for Project Engineering and International Cooperation of PJSC RusHydro, announced the company's readiness to resume cooperation with Kyrgyzstan in the construction of the Upper Naryn HPP cascade.
