In a recent interview with IA "Kabar," Doctor of Economic Sciences Tolonbek Abdyrov commented on Kyrgyzstan's achievement in the field of international reserves, which have exceeded $10 billion for the first time in history. This event highlights the stability of the country's financial system and its ability to withstand external challenges.
“Reaching the level of international reserves of $10 billion is an important step forward. It indicates a new level of financial stability for our country. These reserves serve as a kind of 'safety cushion' and are an important tool for protecting the economy from global crises and instabilities. It is precisely because of this that the som currency demonstrates its resilience in difficult times,” noted Abdyrov.
In comparative terms, it can be noted that $10 billion in reserves against a GDP of about $23 billion constitutes almost 50% of the country's economy. Such a significant reserve indicates a solid financial base that allows Kyrgyzstan to effectively cope with external shocks.
According to the expert, Kyrgyzstan's external state debt amounts to approximately $5.6 billion. This means that the country already has resources capable of fully covering it, indicating that Kyrgyzstan does not experience serious debt pressure and retains the ability for economic maneuvering.
Given the economy's dependence on imports, the presence of large reserves becomes particularly relevant. Kyrgyzstan imports a wide range of goods, from food to technical equipment and raw materials. Reserves in the form of gold and foreign currency allow the country to quickly finance imports and mitigate fluctuations in the currency market. The National Bank uses currency intervention mechanisms to stabilize the situation both during upward and downward pressure on the exchange rate.
Moreover, a high level of reserves compared to the economy serves as an important signal for investors and international partners, demonstrating financial discipline and the state's ability to manage external risks. Thus, Kyrgyzstan is currently in a relatively stable position regarding key macroeconomic indicators and is generally protected from external economic shocks,” concluded Tolonbek Abdyrov.
