Technical assistance to Kyrgyzstan replaces abolished Kyrgyz-Kazakh Fund

«Allocated by Kazakhstan technical assistance to Kyrgyzstan replaced the abolished Kyrgyz-Kazakh Fund," Head of the Center for Integration Studies of the Eurasian Development Bank Vladimir Pereboev told 24.kg news agency.

He is sure that Kazakhstan's decision to ratify the intergovernmental protocol with Kyrgyzstan on technical assistance has continued an important long-term systematic work on providing assistance to the republic, initiated by Kazakhstan and Russia in connection with the country’s accession to the Eurasian Economic Union. Joining the Eurasian Economic Union, Kyrgyzstan expected to receive financial assistance for the development of the national economy and adaptation to the conditions of membership in the union.

»Kazakhstan and Russia decided to implement a number of initiatives on providing such assistance. Here is, firstly, the Russian-Kyrgyz Development Fund, established in 2014, with an authorized capital of $ 500 million. In addition, since 2015, Russia has written off more than $500 million of Kyrgyzstan’s debts and allocated $ 200 million to strengthen the external borders of EEU," Vladimir Pereboev reminded.

As for assistance from Kazakhstan, it is carried out primarily within the framework of the agreement signed in December 2016 on providing Kyrgyzstan with technical and financial assistance of $ 100 million. The funds will be allocated in several tranches, the first of which will be $ 41 million.

«The allocation of technical and economic assistance to Kyrgyzstan has become an instrument that replaced the Kyrgyz-Kazakh direct investment fund created in 2012 and abolished in 2015. The funds will be used to solve a number of important tasks — modernization of the infrastructure of the Kyrgyz section of the external borders of EEU, customs checkpoints, creation and (or) modernization of testing laboratories, training in technical regulation. These measures will help to ensure compliance of goods supplied by Kyrgyzstan to the unified customs territory of EEU. They will solve a number of other problems of the national economy, including through stimulation of the Kyrgyz agro-food exports," the expert believes.