Inflation in Kyrgyzstan is expected to remain high. A new report of the Asian Development Bank (ADB) says.
It will be 15 percent at year-end 2022, and 12 percent in 2023. The main reason will be a sharp surge in fuel and gas prices by more than 20 percent. This could lead to an increase in the prices of food and other goods.
«The National Bank of Kyrgyzstan is expected to maintain its focus on price stability. Last month, it raised the discount rate and intervened in foreign exchange markets to support the exchange rate when a sharp fall of the exchange rate of the Russian ruble depreciated the Kyrgyz som against the U.S. dollar,» the report says.
ADB also noted that an increase in gold exports should boost export growth this and next year, and resumption of delayed infrastructure projects should boost imports accordingly. Remittances are likely to fall in dollar terms, reflecting lower demand for migrant workers and weakening of ruble against the U.S. dollar.
