On the YouTube channel of Valentin Katasov, an economist and publicist, a detailed analysis was released regarding the construction of a new gold storage facility in Kyrgyzstan, which has become the largest in the country and will accommodate up to 1000 tons of gold. The author compared this facility to a "Central Asian Fort Knox," addressing questions that are actively discussed by experts and social media users.
A New Stage in Gold Storage
The construction of the new building of the National Bank of Kyrgyzstan was completed at the end of October in Bishkek. An important part of this project was a modern gold storage facility that meets international standards. President Sadyr Japarov participated in the opening, emphasizing that now Kyrgyzstan will be able to store its gold on native soil and offer similar services to other countries.
This storage facility will hold 1000 tons of gold, which is almost thirty times the current stock of the country, which is about 38 tons.
The uncertainty related to this disproportion raises the main question for Katasov: why does Kyrgyzstan need such a large facility?
Returning Gold to the Homeland
The economist reminds us that just a few years ago, a significant portion of Kyrgyzstan's gold was located abroad, likely in Germany or Turkey. According to the latest data, the gold has already been returned to the homeland, or the process of its return is nearly complete.
However, even with the complete return of reserves, they will only occupy 3.8% of the volume of the new storage.
The annual gold production in Kyrgyzstan is about 25 tons. Even with active purchases, filling the new storage with local gold will only be possible by the end of the century.
Three Possible Reasons for Building the Storage
Katasov identifies several likely motives that could have influenced the decision to build such a large storage facility.
1. Kyrgyzstan as a Gold Hub of the Region
Neighboring Central Asian states have gold reserves, but their volumes vary:
• Tajikistan - less than 8 tons
• Turkmenistan - officially has no gold reserves
• Kazakhstan - about 324 tons, most of which is stored abroad
• Uzbekistan - 364.5 tons, almost all stored in the country
According to Katasov, Kyrgyzstan can expect to attract some of Kazakhstan's gold, considering the global trend towards repatriation.
2. Kyrgyzstan as a Transit Center for Russia
Although Russia has its own large gold storage facilities, under the pressure of sanctions, transferring some operations to a neutral jurisdiction may be a reasonable step.
Katasov suggests that Bishkek could become an important hub for transactions or storage of gold involved in circumventing sanctions.
3. Kyrgyzstan as a Center for Financial Operations between Russia and China
According to the third version, Kyrgyzstan could become a platform for financial operations between Russia and China. In the context of growing geopolitical tension, creating a "third point" for trade and financial operations is becoming increasingly important.
In this case, the new storage could be filled with both Russian and Chinese gold.
Preliminary Agreements
Katasov notes that the start of construction of such a large facility is unlikely to be possible without preliminary agreements with potential partners.
He suggests that in the coming years, the storage will be filled quite quickly, but the question of whose gold will be stored there will remain unclear.
The author concludes that the new gold storage in Kyrgyzstan represents not just an infrastructure project, but also a potential financial hub for the entire region. Its creation may indicate the presence of strategic agreements and the country's readiness for new forms of international settlements.
Katasov believes that Kyrgyzstan is on its way to taking a more significant role on the geo-economic map of Central Asia than is usually assumed.
