According to the National Bank, from 2015 to 2025, there has been a steady growth in the total volume of deposits in the banking system of Kyrgyzstan, particularly accelerating in recent years.
Since 2016, the growth rates of deposits have fluctuated between 13-19%, however, the year 2021 marked a sharp increase of 34%, and by 2025, this growth reached a record 46.2%.
The average annual growth over the entire decade was 23.7%, which significantly exceeds the growth rates of nominal GDP and indicates a deepening of financial intermediation in the economy.
Growth noticeably accelerated after 2020: while in the first half of the analyzed period (2015-2019) the average long-term growth was about 10%, in the second half (2020-2025) it exceeded 35%. This is due to several factors: an increase in remittances, an influx of capital in 2022, the development of banking services, and an increase in public trust in the banking system.
Comparison with GDP
The ratio of deposits to GDP is an important indicator of the development of the financial sector. With an average nominal GDP of Kyrgyzstan around 900-1000 billion soms (2024-2025), this indicator has increased from 15% in 2015 to 85-90% in 2025.
This significant growth indicates:
- Increased importance of the banking system in the economy
- Higher propensity of the population and businesses to save
- Formalization of economic relations (exit from the shadow sector)
- Development of a culture of banking services
One of the most noticeable changes during the analyzed period is the radical restructuring of the currency composition of deposits:
2015:
- Deposits in national currency: 35.38 billion soms (34.4%)
- Deposits in foreign currency: 67.49 billion soms (65.6%)
- 2025:
- Deposits in national currency: 565.12 billion soms (65.3%)
- Deposits in foreign currency: 300.79 billion soms (34.7%)
Thus, there has been an inversion in the structure: while in 2015 almost two-thirds of deposits were in foreign currency, by 2025 more than half of the deposits are in the national currency.
Three stages of dedollarization
Stage 1 (2015-2019): Active dedollarization
During this period, the share of the national currency increased from 34.4% to 61.8% — an increase of 27.4 percentage points.
It is noteworthy that the absolute volume of foreign currency deposits changed little (from 67.5 to 57.7 billion soms), and all growth was provided solely by soms deposits.
Main factors: stabilization of the national currency exchange rate after the devaluation of 2014-2015, significant interest rate spreads in favor of the som, increased trust in the banking system, and the active position of the NBKR in promoting transactions in the national currency.
Stage 2 (2020-2022): Temporary rollback
During this period, there was a temporary decline in the share of the national currency to 54.4%.
- This is explained by several factors:
- Global uncertainty due to the COVID-19 pandemic
- Geopolitical events of 2022
- Inflow of foreign currency capital into the country (relocation of businesses and specialists)
- Increased volumes of re-export trade
In absolute terms, foreign currency deposits increased from 57.7 to 154.6 billion soms — almost 2.7 times.
Stage 3 (2023-2025): Resumption of dedollarization
After the stabilization of the geopolitical situation, the share of the national currency recovered to 65.3%. Particularly active growth was observed in soms deposits: from 184.4 to 565.1 billion soms — more than 3 times in three years.
At the same time, foreign currency deposits also increased, but at a significantly slower rate (from 154.6 to 300.8 billion soms).
Dynamics of deposit rates
Over the decade, interest rates on all categories of deposits have significantly decreased:
Interest rates on deposits in national currency:
2015: 7.18%
2019: 5.95%
2025: 5.34%
Decrease: -1.84 percentage points
Interest rates on deposits in foreign currency:
2015: 3.53%
2019: 1.38%
2025: 0.69%
Decrease: -2.84 percentage points (almost 5 times)
Weighted average rate:
2015: 4.78%
2025: 3.73%
Decrease: -1.05 percentage points
The decrease in foreign currency rates is explained by several factors:
- Global policy of low rates by central banks (until 2022)
- Excess foreign currency liquidity in the banking system
- Low demand for foreign currency lending
Considering the limited opportunities for placing foreign currency resources, the deposit market in Kyrgyzstan underwent a profound transformation from 2015 to 2025:
- The number of deposits increased 8.4 times — from 102.9 to 865.9 billion soms
- Structural changes: the share of foreign currency deposits decreased from 66% to 35%
- Normalization of rates: a decrease in profitability while maintaining the attractiveness of soms deposits. Institutional development: strengthening trust in the banking system
These transformations indicate the maturity and resilience of the country's banking system, the growth of trust in the national currency, and the effectiveness of the monetary policy of the National Bank of the Kyrgyz Republic.
The prospects for the deposit market look positive, provided that macroeconomic stability is maintained and structural reforms in the financial sector continue.
The analysis is based on data from the NBKR for December of each year. Data for 2025 is preliminary.
