WT/TPR/M/411  
22 July  2021 
(21-5726) Page: 1/35 
Trade Policy Review Body  Original: English  
18 and 20 May 2021  
  
TRADE POLICY REVIEW  
KYRGYZ REPUBLIC  
MINUTES OF THE MEETING  
Chairperson: H.E. Dr Athaliah Lesiba Molokomme (Botswana)  
CONTENTS  
1  INTRODUCTORY REMARKS BY THE CHAIRPERSON  ................................ ......................  2 
2  OPENING STATEMENT BY THE REPRESENTATIVE OF THE KYRGYZ REPUBLIC  ..............  4 
3  STATEMENT BY THE DISCUSSANT  ................................ ................................ ...............  8 
4  STATEMENTS BY MEMBERS  ................................ ................................ .......................  11 
5  REPLI ES BY THE REPRESENTATIVE OF THE KYRGYZ REPUBLIC AND ADDITIONAL 
COMMENTS  ................................ ................................ ................................ ....................  27 
6  CONCLUDING REMARKS BY THE CHAIRPERSON  ................................ ........................  34 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: Advance written questions and additional questions by WTO Members, and the replies provided 
by the Kyrgyz Republic  are reproduced in document WT/TPR/M/ 411/Add.1  and will be available 
online at http://www.wto.org/english/tratop_e/tpr_e/tp_rep_e.htm.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  1  INTRODUCTORY REMARKS BY THE CHAIRPERSON  
1.1.  The third Trade Policy Review of the Kyrgyz Republic was held on 18 and 20 May 2021. The 
Chairperson, H.E. Dr. Athaliah Lesiba Molokomme (Botswana), welcomed the delegation of the 
Kyrgyz Republic, headed by H.E. Mr. Seit Rysaliev , Deputy Minister of Economy and Finance ; 
Mr. Nurbek Maksutov, Head of the Representative Office of the Ministry  of Economy and Finance ; 
the rest of the delegation from Bishkek ; and the discussant, H.E. Ambassador Mrs. Tatiana Molcean  
(Moldova) . 
1.2.  The Chairperson was pleased that, in addition to physical presence, the meeting also benefited 
from the Interprefy online connection, allowing for a wider participation of the Membership, in 
particular of officials who could not make the journey from Bishk ek given the current circumstances.  
1.3.  The Chairperson recalled the purpose of TPRs and the main elements of procedures for the 
meeting. The report by the K yrgyz Republic is contained in document WT/TPR/G/411 , and that of 
the WTO Secr etariat in document WT/T PR/S/411 . 
1.4.  Questions by the following delegations were submitted in writing before the deadline: Iceland 
Singapore ; Chile; Canada ; Ukraine ; China ; the Kingdom of Saudi Arabia ; the European Union ; and  
the United States . The following delegations submitted wr itten questions after the deadline: Turkey  
and Thailand . 
1.5.  At the time of its previous Review in 2013, Members had complimented the Kyrgyz Republic 
for the open trade policies it had pursued in the transformation from a planned economy to a market -
based economy.  
1.6.  Ongoing reforms had been  appreciated, such as the introduction of "single window" and 
"paperless trade" initiatives to facilitate trade, reforms to the Tax Code and competition policy, 
reduced resort to mandatory standards and technic al regulations and greater alignment with 
international standards, the development of e -procurement, and the streamlining of certain 
bureaucratic practices.  
1.7.  Areas where more could be done included an urgent need to provide new or revised notifications 
to comply wit h WTO transparency obligations; improve ments in the frameworks for SPS and  
intellectual property protection; government procurement; and further efforts to attract foreign 
investment. Members had also been concerned about certain tariffs in excess  of WTO commitme nts 
and restrictive non -tariff measures. Members had noted the Kyrgyz Republic's stated intention to 
join a regional customs union, which would have had major repercussions on Kyrgyz trade policies.  
1.8.  The Kyrgyz Republic became a member of th e Eurasian Economic Union (EAEU) on 
12 August  2015, resulting in a nearly complete overhaul o f the trade regime , as it affected  areas 
such as tariffs and non -tariff measures, contingency measures, rules of origin, customs valuation 
practices, and the excha nge of trade preferences with third parties.  
1.9.  The Secretariat report indicated  that the effect on bilateral trade and investment flows with 
other EAEU members appear ed to have been positive, but that market access for Kyrgyz MFN 
partners ha d been negatively affected. Many MFN tariff rates were much higher than before, 
particularly in agriculture, and progress on the establishment of revised WTO bound rates was very 
slow. Tariff quotas and trade remedies were new features to the Kyrgyz Republi c's import regime, 
and it adopted the EAEU's Single List of non -tariff measures.  
1.10.   Perhaps most important  decisions that used to be national prerogatives were now taken at 
the regional level , as EAEU members enforce d a unified external tariff and related tra de instruments, 
implement ed common frameworks, notably for TBT and SPS, and work ed towards fiscal 
harmonization, a unified energy market, a common transport market, greater financial market 
integration, and other common goals.  
1.11.   Recognizing that poor governa nce remain ed a major impediment to the development of a 
sound business and investment environment, recent ongoing reforms taken by the Government 
focused on the fight against corruption, strengthening the integrity of the judicial and law WT/TPR/M/411 • Kyrgyz Republic  
 
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  enforcement syste m, and enhancing the transparency and efficiency of public administration in 
general.  
1.12.   Major efforts were undertaken to upgrade the national TBT and SPS systems to EAEU 
requirements. The Chairperson  noted that, since its last TPR, the Kyrgyz Republic ha d established 
three WTO enquiry points and a national notification authority for SPS issues.  
1.13.   The Kyrgyz Republic is a strong supporter of the WTO Trade Facilitation Agreement and work s 
actively to implement its provisions. The Kyrgyz single window application (the Tulpar System) was 
modernized to make it compatible with the single window channels of the other EAEU members.  
1.14.   While the Kyrgyz Republic ha d experienced several years of good, uninterrupted economic 
growth, until the arrival of the COVID -19 pandemic, its economy remain ed vulnerable , as its 
merchandise exports were dominated by one single commodity (gold), and its balance of payments 
was heavily reliant on remittances from a large expatriate workforce.  
1.15.   In their advance written questions, Members  stresse d, inter alia , the need for new or updated 
WTO notifications regarding tariffs, subsidies, customs valuation, import licensing and technical 
regulations. They sought more detailed information on state -owned enterprises, and question ed the 
WTO compatibility of incentive programmes, particularly those designed to encourage exports.  
1.16.   They inquire d about policies to strengthen the position of women in the economy and trade, 
and measures to support the growth of small  and medium -sized enterprises. Other areas that 
attracted in terest include d trade facilitation; restrictions on specific imports and exports; TBT and 
SPS; agriculture; reforms in mining and energy; microfinance; transportation; and tourism.  
1.17.   In total, the Kyrgyz Republic received 158 written questions from 11 Member s for this Review, 
most of which were sent within the established deadline, covering a broad range of topics. Prior to 
this meeting, the Kyrgyz Republic had already provided written replies to many of these questions 
and the Chairperson looked forward to hearing any updates it might present on these issues during 
the two -day meeting . 
1.18.   This meeting was a good opportunity for Members to discuss in greater detail issues of interest 
to them and of systemic importance to the multilateral trading system. It was also an opportune 
moment for the Kyrgyz Republic to enlighten the Membership on the impact of COVID -19 pandemic 
on its economy and measures it ha d taken in response , given that the documentation prepared for 
this Review did not cover the most recent measures . The Chairperson looked forward to a fruitful 
exchange.  
1.19.   The Chairperson closed her introductory remarks by wishing the Kyrgyz Republic a very 
successful third Trade Policy Review.  
  WT/TPR/M/411 • Kyrgyz Republic  
 
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  2  OPENING STATEMENT BY THE REPRESENTATIVE OF THE KYRGYZ REPUBLIC   
(HON. SEIT RYSALIEV)  
2.1.  On behalf of the Government of the Kyrgyz Republic, let us welcome you to today's meeting 
on the third Trade Policy Review of the Kyrgyz Republic.  
2.2.  The delegation of the Kyrgyz Republic, represented by the relevant ministries and agencies, 
has gathered toda y at the Ministry 's building to present to the WTO Members the recent 
developments and achievements in the trade policy of the Kyrgyz Republic for the period from 2013 
to 2019.  
2.3.  First of all, I would like to express my gratitude to Her Excellency, Ambassado r Molokomme, 
Chair of the Trade Policy Review Body, and the staff of the WTO Secretariat for their excellent work 
and comprehensive assistance provided in this area throughout the preparation for this Trade Policy 
Review. May I also thank Her Excellency Am bassador Tatiana Molcean, Permanent Representative 
of Moldova, for her significant role as the discussant for this Trade Policy Review of the Kyrgyz 
Republic.  
2.4.  I would also like to thank all the WTO Members who submitted their questions and comments, 
and pa rties attending in today's event. This reaffirms your interest in the development of the Kyrgyz 
Republic and its foreign economic policy.  
2.5.  The Kyrgyz Republic delegation is ready for an open and interactive discussion with you on the 
details of the trade re gime of the Kyrgyz Republic.  
2.6.  Prior to our session, we received 158 questions from 11 WTO Members. We make every effort, 
in good faith and sincerity, to answer as many questions as possible in writing. Based on these 
answers, we hope that WTO Members will g et a more objective, accurate and comprehensive 
understanding of the trade policy pursued by the Government of the Kyrgyz Republic. The Kyrgyz 
delegation is ready for an open and interactive discussion with you about the details of the trade 
regime of the Kyrgyz Republic.  
2.7.  The Kyrgyz Republic is convinced that integration into world trade is crucial for the economic 
development of the country. 22 years have passed since the Kyrgyz Republic joined the WTO. During 
this period there have been significant change s both in the geographical distribution and structure 
of trade, and in the foreign trade regime itself. The implementation of an appropriate liberal trade 
policy contributed to the development of various sectors of the economy, as well as the openness of 
the market and the country's liberal legislative regime conditioned the development of foreign trade.  
2.8.  Since 2015, the trade policy of the Kyrgyz Republic has been directly linked to the processes 
of regional economic integration within the Eurasian Economic  Union (EAEU). As a result, in order 
to harmonize national legislation with the EAEU law, a number of new legal documents were adopted 
alongside with amendments and additions to the existing ones. By participating in regional 
integration processes, the Kyr gyz Republic demonstrates its commitment to preserve and strengthen 
the irreplaceable role of the WTO as the main platform for negotiations, multilateral trade 
liberalization, as well as the development and enforcement of the rules of the multilateral trad ing 
system.  
2.9.  The Kyrgyz Republic is a relatively small economy which is landlocked, hence a high priority 
for the country is to make full use of our WTO Membership rights.  
2.10.   We are delighted to introduce to you the reports of the WTO Secretariat and the Government 
of the Kyrgyz Republic, which set out in detail the economic development as well as recent 
developments and achievements in trade policy and related issues. I would like to elaborate on some 
aspects of the report prepared by the Government of th e Kyrgyz Republic.  
2.11.   Social and economic development of the Kyrgyz Republic for 2013 -2019 took place in the 
context of a sharp decline in the world price of hydrocarbon resources, crisis in the foreign exchange 
market due to the strengthening of the US dolla r exchange rate against other currencies, as well as 
other external factors, against which there was a trend of uneven economic growth of the country.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  2.12.   At this stage, social policy, regardless of deep shocks, was constantly focused on the proper 
implementat ion of social obligations assigned to the state.  
2.13.   During the reporting period from 2013 to 2019, nominal GDP grew by 66.1% (355.3 billion 
soms) and at the end of 2019 was 590 billion soms. In 2013, nominal GDP demonstrated a growth 
of 10.9% due to favourabl e conditions. Other years of the reporting period represented by annual 
growth of an average of 4.2%. The main sectors of the economy constituting GDP in 2013 -2019 
were services, industry and agriculture, which ensure economic growth in the country and are  the 
main suppliers of export products. Their share of the country's GDP production in 2019 was 76.5%, 
having a decrease of 2.7% compared to 2013.  
2.14.   The main efforts recently made by the country's authorities were focused on the 
implementation of priority me asures to establish effective public administration. This allowed us to 
stabilize our economy and ensure security and stability throughout the country.  
2.15.   Macroeconomic policy of the Kyrgyz Republic developed according to the National Strategy 
for Sustainable  Development of the Kyrgyz Republic for the period 2013 -2017, the National 
Development Strategy of the Kyrgyz Republic for 2018 -2040 and the Program for the Transition of 
the Kyrgyz Republic to Sustainable Development for 2013 -2017, which were aimed at ens uring 
macroeconomic stability; creating conditions for growth of business activity and investment 
attractiveness of main sectors of economy; realization of foreign trade potential; development of 
foreign trade cooperation; resource saving and energy effici ency; regional development and 
digitalization of the national economy.  
2.16.   Special attention was devoted to the development of mining, energy, tourism, agriculture, 
transport, financial sector, as well as the sphere of business based on new and "green" technol ogies.  
2.17.   The conceptual foundations of fiscal policy are formed and implemented within the framework 
of the Concept of Fiscal Policy of the Kyrgyz Republic for 2015 -2020, the main directions of which 
are: improving the investment climate; ensuring the comple teness of tax collection; modernization 
of tax and customs services; improving and automating the tax reporting system, reducing the 
number of reports and streamlining the frequency of their submission; identifying and minimizing 
the factors leading to the  emergence of systemic corruption, revealing its true socio economic  roots, 
promoting a law -abiding lifestyle, implementing the state's anti -corruption policy in the fiscal sphere.  
2.18.   The business climate in the country is gradually improving, as evidenced by the positive 
dynamics of positions in international rankings, as well as growth in retail trade and cross -border 
remittances. The Kyrgyz Republic remained at 70th position out of 190 countries in the World Bank's 
Doing Business ranking in 2013 and in 2019.  In the World Economic Forum's ranking of the country's 
competitiveness, Kyrgyzstan ranked 96th among 140 countries in 2019, up from 126th in 2013.  
2.19.   The Kyrgyz Republic has a fairly liberal investment legislation based on the principles of Most 
Favourite Na tion. The investment policy of the country is aimed at improving the investment climate 
and stimulating attraction of domestic and foreign investments by providing fair, equal legal 
treatment to investors and guarantees of protection of investments attract ed by them in the 
economy of the Kyrgyz Republic.  
2.20.   Amendments were made to the Law of the Kyrgyz Republic "On Investments in the Kyrgyz 
Republic" in 2016 -2018, investors received the right to free conversion of the national currency of 
the Kyrgyz Republic t o any other currency on all payments related to investment in the country.  
2.21.   Also, the country introduced a stabilization regime — the investor, as well as the invested 
company, within 10 years from the date of signing the stabilization agreement, have the r ight to 
choose the most favourable conditions for them to pay taxes.  
2.22.   The mechanism of public -private partnership is legally approved,  and the Program for 
Development of Public -Private Partnerships identifies the areas of its application in five areas: 
transport; environment and water supply; energy; social sector; informatization and public 
administration.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  2.23.   In order to simplify administrative formalities, the Government of the Kyrgyz Republic 
announced a three -year moratorium on inspections of business entit ies. A simplification of the 
licensing and permitting system and conversion to an electronic format for obtaining permits are 
envisaged.  
2.24.   Currently, regulatory measures taken in the country are aimed at creating additional 
incentives for investors and entre preneurs, increasing their competitiveness through lower tax rates 
and tariffs, the minimum sufficient state regulatory impact, simplicity and transparency of creating 
and running a business.  
2.25.   A "Single Window" principle was introduced to simplify the paper work required for 
exports/imports, using advanced information technologies.  
2.26.   A foreign trade in the Kyrgyz Republic is characterized by chronic excess of imports over 
exports, which leads to serious macroeconomic consequences. An excess of foreign trade tur nover 
over GDP has been observed until 2015. The Kyrgyz Republic's foreign trade growth rate for 
2013-2019 was negative; a foreign trade turnover fell by 12.7% over this period, from 
USD 7,993.8  million to USD  6,975.1 million. Exports in 2019 amounted to USD 1,986.1 million and 
decreased by 1% compared to 2013, respectively, imports amounted to USD 4,989.0 million and 
decreased by 16.7%.  
2.27.   The services sector occupies a major share of the country's GDP, accounting  for 46.5% in 
2013 and 46.9% in 2019. The turnover of foreign trade in services was USD 2,103.5 million in 2019, 
while in 2013 it was USD 2,192.1 million or decreased by 4.2%. Tourism and transport services are 
important sectors of services exports.  
2.28.   The Kyrgyz Republic is part of the regional economy. Both the success of economic 
development and its failures will largely depend on the ability of our country to use its competitive 
advantages and occupy profitable niches in the international division of lab our. 
2.29.   On 12 August 2015, the Kyrgyz Republic joined the Treaty on the Eurasian Economic Union, 
becoming the fifth full -fledged member of the EAEU. It should be noted that the Treaty on the Kyrgyz 
Republic's accession to the EAEU was considered at the meetin g of the Committee on Regional Trade 
Agreements of the WTO in 2018.  
2.30.   After the Kyrgyz Republic joined the EAEU in 2015, the customs  tariff and non -tariff 
regulations are implemented in accordance with the EAEU Treaty legal framework. The legal basis 
for cus toms and tariff regulation in the Kyrgyz Republic is the Treaty on the Eurasian Economic Union 
of 29 May 2014, the EAEU Customs Code and the Law of the Kyrgyz Republic "On Customs 
Regulation" No. 52 of 24 April 2019. As a member of the EAEU, the Kyrgyz Rep ublic applies the rates 
of the Unified Customs Tariff of the EAEU.  
2.31.   Before the Kyrgyz Republic's accession to the EAEU, the applied average import customs tariff 
was in the range of 5.0 -5.2%, with the WTO bound customs tariff at 7.4%. After the country's 
accession to the EAEU, the customs tariff increased to 9.4%. At the end of 2020, the applied customs 
tariff level was 6.7%.  
2.32.   At present, the Kyrgyz Republic is negotiating with interested WTO Members to revise tariff 
commitments to provide appropriate compens ations.  
2.33.   In the sphere of technical regulation, national technical guidelines establishing mandatory 
requirements for the objects of technical regulation, as well as the rules of product identification and 
conformity assessment procedures were in force in the country in the period 2013 -2015. After joining 
the EAEU, in accordance with the Treaty on the EAEU, the Kyrgyz Republic implement ed a unified 
policy in the field of technical regulation, ensuring the uniformity of measurements, application of 
sanitary and phytosanitary measures.  
2.34.   The national accreditation system is harmonized with international norms and rules and 
complies with the EAEU requirements.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  2.35.   The procedures of veterinary and phytosanitary certification are established by the legislation 
of the K yrgyz Republic on the basis of relevant international standards of the World Organization for 
Animal Health and the International Plant Protection Convention.  
2.36.   In 2016, the Kyrgyz Republic ratified the Trade Facilitation Agreement (TFA). The responsible 
ministries and agencies have taken a number of measures to ensure compliance with the TFA. To 
ensure effective implementation of the TFA, the Kyrgyz Republic has established the National Trade 
Facilitation Council to monitor and coordinate with the relevant m inistries and agencies.  
2.37.   The legislation of the Kyrgyz Republic in the field of intellectual property is harmonized in 
accordance with the requirements of international standards.  
2.38.   In 2018, the Kyrgyz Republic ratified the Protocol amending the Agreement on Trade  Related 
Aspects of Intellectual Property Rights (TRIPS).  
2.39.   In accordance with the Treaty on the EAEU, a single trade regime applies to third countries 
within the EAEU. In this regard, the regime of free trade in goods with the third party is establishe d 
on the basis of the EAEU free trade agreement with such party. Currently, there is a free trade 
agreement between the EAEU and the Socialist Republic of Viet  Nam, which entered into force on 
5 October 2016.  
2.40.   The Interim Agreement leading to the formation of a free trade zone with the Islamic Republic 
of Iran has been in effect since 2019.  
2.41.   The Non -Preferential Agreement on Trade and Economic Cooperation with the People's 
Republic of China entered into force in October 2019.  
2.42.   Agreements on a free trade zone w ere signed with Singapore and Serbia, which are currently 
undergoing the ratification procedure in the EAEU countries.  
2.43.   In addition to  the membership in the EAEU, the Kyrgyz Republic is also a party to the Treaty 
on Free Trade Area between the Commonwealth of Independent States (CIS).  
2.44.   In conclusion, may I assure all of the participants in this Review that your comments and 
questions raised in the Kyrgyz Republic Trade Policy Review will be addressed in the appropriate 
manner. Thus, the recommendations formul ated during this critically important Trade Policy Review 
exercise will be taken into account in the process of developing measures on trade policy 
adjustments.  
2.45.   The t rade policy of the Kyrgyz Republic in the medium - and long -term will be defined based 
on the need to create a competitive economy, the expansion of competitive advantages in traditional 
industries and the development of new ones, further diversification of export markets. The trade 
policy of the Kyrgyz Republic will be established in accordance  with the fundamental norms and rules 
of the WTO.  Thank you for your attention.  
  WT/TPR/M/411 • Kyrgyz Republic  
 
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  3  STATEMENT BY THE DISCUSSANT  
3.1.  Thank you and good morning, everyone. I would like to join you , Chair, in welcoming the 
delegation of the Kyrgyz Republic headed by Deputy Minister of Economy and Finance 
Mr. Seit Rysaliev , respectively, to their third Trade Policy Review. I am hono ured to act as a 
discussant for the Kyrgyz Republic Review with which my coun try maintains close economic relations 
under the CIS Free Trade Agreement.  
3.2.  Having in mind my role to introduce facts and encourage discussions , I will start by presenting 
some general economic considerations, address certain  aspects of Kyrgyz trade policy,  highlight 
specific topics in relation to our Organization's agreements and conclude with final remarks.  
3.3.  But before that,  I would like to commend the high -quality reports drafted by the Secretariat 
and the Government of  the Kyrgyz Republic which provide an  excellent starting for our Review and 
discussions . 
Macroeconomic  overview  
3.4.  Speaking about general characteristics of the economy, shall be noted that the Kyrgyz Republic 
is a lower -middle income country and a double land locked  country. The country has rich 
endowments, including minerals  — as gold, uranium and mercury  — relying heavily on the exports 
of gold. The economy also is impacted by migration and relies heavily on remittances from its 
emigrant workers. Several studies reveal that the economy has significant potential for the 
expansion, particularly through untapp ed potential from agricultural sector, hydroelectricity 
production and tourism industry.  Additionally , these note that, p olitical stability, policy predictability, 
and decisive reforms to improve the business climate would strengthen business confidence an d 
economy as a whole.  
Thus, The Kyrgyz economy remains less diversified, with the GDP shares of services, mining, and 
construction on an upward trend, and that of agriculture declining. The service sector accounts for 
approximately half of GDP  with the  CIS countries remain ing the key trading partners, both as 
suppliers of imports and export s destinations, while Switzerland and after 2017, UK has become a 
significant market for gold exports.  
3.5.  The period under review was a relatively challenging one for the Ky rgyz economy which 
recorded several years of steady growth before the emergence of the pandemic. In 2020, as majority 
of Members , the country 's economy was hit hard by the COVID -19 pandemic. The sharp decline in 
tourism, non -gold exports, and the slowdown in domestic activity have led to a significant contraction 
of GDP by 8 .6% in 2020 (according to most recent IMF Article IV Mission conclusions).  
3.6.  As the majority of Members, the Kyrgyz authorities took a range of measures to save lives and 
cushion the impac t on the economy. These included emergency health spending, stepping up the 
food security program for the vulnerable, and temporary tax deferrals and subsidized loans to 
support small and medium enterprises (SMEs). Due to the COVID -19 shock, the overall bu dget 
deficit widened to 3.3 % of GDP, public debt increased to 68 % of GDP, the overall balance of 
payments weakened, the exchange rate depreciated, and inflation accelerated. The National Bank 
of the Kyrgyz Republic (NBKR) raised its rate twice from 4.25 in  early 2020 to 5.5 % in February 
2021, while supporting banks through liquidity injections, deferrals of loan payments and the 
temporary relaxation of capital and loan provisioning norms. It shall be noted that the Kyrgyz 
Republic was the first country to r eceive the Fund 's COVID -related emergency financial assistance 
of about USD 242 million (100 % of quota) under the Rapid Financing Instrument (RFI) and the Rapid 
Credit Facility (RCF).  
3.7.  According to IMF forecasts, growth is expected to rebound by the end of this year, but 
uncertainty remains high. Barring a resurgence of the pandemic, the economy is  projected to grow 
by 3.8 % in 2021 and by 6.4 % in 2022, underpinned by a more favo urable global outlook, recovery 
of domestic activity, higher gold production, an increase in remittances from oil exporting 
neighbo urs, and a rebound in tourism, transportati on and related services. Growth should gradually 
converge to its potential of 4 % in the medium term.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  3.8.  However, global economic conditions remain uncertain and warrant contingency planning.  A 
slower than expected rollout of vaccines or emergence of new COVID -19 variants may delay the 
recovery to 2022 or beyond and, therefore, securing vaccines as soon as possible is essential to 
save lives and livelihoods. Lower gold prices or weaker remittances could weaken the balance of 
payments. If these risks materialize , accommodative macroeconomic policies will need to be 
maintained longer, and health and social spending increased.  
Participation in the multilateral and regional agreements: key developments  
3.9.  In terms of the Kyrgyz Republics participation in the WTO, there  have been several 
developments during the period under review.  Thus, o ver the review period, the Kyrgyz Republic as 
deepened its engagement with the multilateral trading system and participated in several FTAs.  
3.10.   While the legal provisions generally comply with WTO obligations and are aimed at facilitating 
trade, these seem to be often undermined by inadequate resources or gaps in implementing 
regulations. There is also scope for improvement in the Kyrgyz Republic's notification record, namely 
with respect t o import licensing and subsidies notifications mentioned by the report. Additionally, 
some Members noted in their questions the need for new or updated notifications, particularly 
regarding tariffs, customs valuation and technical regulations.  
3.11.   The Kyrgyz R epublic accepted the Protocol amending the TRIPS Agreement on February 2016 
and the Protocol concerning the Trade Facilitation Agreement on December 2016.  
3.12.   The Kyrgyz Republic is not yet a member of the Government Procurement Agreement, its 
accession to the  WTO GPA is ongoing and I encourage the authorities to keep this a priority in the 
years to come. I am pleased to note that commendable results were achieved in this sector during 
the review period, and a number of developments which occurred in the area o f government 
procurement where mentioned by the Secretariat report, particularly on the adoption of a provision 
on national treatment of the Public Procurement Law and other amendments which will contribute 
to the reduction of corruption and increase of tr ansparency. Several questions have been asked on 
the steps foreseen to advance the accession to the WTO GPA, as well as on the digitalization status 
and the move to digital signatures.  
3.13.   Commendably, the Kyrgyz Republic takes part in discussions under the Joint Initiatives 
launched back in 2017 in Buenos Aires, namely on investment facilitation for development and on 
micro, small and medium -sized enterprises. Given the country profile and national policies, I would 
like to encourage the Kyrgyz Republic to p articipate in other initiatives which are opened to all 
Members, namely e -commerce, services domestic regulation, trade and gender, environmental 
sustainability as well as health related initiative.  
3.14.   Since the last Review , the Kyrgyz Republic was involved i n one new WTO dispute settlement 
proceeding for the country, dated 2018, when Ukraine filed a request for consultations on 
antidumping duties on imports of steel pipes into Kyrgyzstan, which were applied pursuant to a 
decision of the Eurasian Economic Comm ission.  
3.15.   In addition  to RTAs, it shall be noted that the Kyrgyz Republic is participating in FTA 
agreements concluded by the EAEU, namely recent ones with Viet Nam, Iran, China, Singapore, 
Serbia, and ongoing with Egypt, India and Israel.  
3.16.   Also, during the r eview period, the Kyrgyz Republic concluded an enhanced partnership and 
cooperation agreement with the EU in July 2019 and benefits since 2016 of a unilateral trade 
preference  offered by EU under GSP+.  
3.17.   The country also maintains an open investment regime, with very few formal entry or 
ownership restrictions and no formal screening mechanism. Although institutional weakness and 
implementation challenges maintain the countries profile as less attractive to FDI, however  it shall 
be noted the increase in FDI in flows which improved the ranking on the W orld Bank doing business 
index.  
3.18.   A number of questions where addressed by Members namely on measures undertaken to 
increase FDI inflows, detailing the regime as it applies to foreign investment, recourse to WT/TPR/M/411 • Kyrgyz Republic  
 
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  international arbitration, use of public -private partnerships. Licensing of investments. Impact of 
Council on Business and I nvestments. Dedicated website to disseminate information on incentives , 
as well as  foreign investment review mechanism.  
Major trade policy changes: joining EAEU  
3.19.   During the period under review , fundamental changes took place in Kyrgyz trade policies, 
namely  marked by the integration processes in the framework of the Eurasian Economic Union 
(EAEU). Since joining the EAEU in 2015, the tariff regime has undergone significant change as the 
Kyrgyz Republic now applies the customs union common tariff. Therefore, a s mentioned in both 
Government and Secretariat reports, the average applied MFN rate increased from 5% in 2012 to 
8.4% in 2020, while the number of duty -free lines decreased significantly and TRQs are now applied 
on several categories of products of meat a nd raw cane sugar.  
3.20.   A significant issue that has risen in the context of the Kyrgyz Republic accession to the EAEU 
is the relationship between its obligations to apply EAEU common external tariff and the 
commitments it made in its WTO accession regarding cu stoms tariff bindings.  
3.21.   According to the Report, 3 ,880 tariff lines exceed their respective WTO bound rate of duty. 
Currently , the Kyrgyz Republic continues the process of renegotiation with other Members pursuant 
to Article XXVIII of the Gatt 1994.  
3.22.   This po licy development during the period under review has attracted questions from a 
number of Members, including its provisions on new tariffs and their compensation , particularly in 
the agriculture sector, management of other duties and charges through the implementation of the 
national legislation, import restrictions and necessity of publication of licensing procedures, applied 
trade remedy measures by EAEU, as well as questions raised on the measures affecting exports.  
3.23.   With a number of questions from Memb ers again highlighting areas of concern amidst a 
generally commendably open trade and investment regime — whether that be in the areas of tariffs, 
tariff-rate quotas, customs procedures, export regulation, or sectoral policy and general economic 
environmen t — it will be interesting to consider how the answers from the Kyrgyz Republic address  
those concerns and, at the next Review, to reflect on the extent to which they have been addressed.  
Conclusion  
3.24.   This Trade Policy Review is taking place in the context of a rapidly evolving global and regional 
economic and trade environment, and amidst Members joint effort to follow up with what was 
achieved during MC11 and in preparation for the upcoming MC12.  
3.25.   Some  reforms being undertaken, and the related achievements attained, have significant 
potential to further strengthen the Kyrgyz Republic institutional economic framework. It is very 
important that the country  keeps implementing these carefully planned reform s to enhance its 
integration into the multilateral trading system and to build further resilience against future political 
and economic transformation.  
3.26.   In the context of its regional economic integration efforts (referring to the accession to the 
EAEU) , the Kyrgyz Republic shall responsibly (carefully) approach the relationship between its 
obligations to apply EAEU common external tariff and the commitments  it made in its WTO accession 
regarding customs tariff bindings.  
3.27.   Let's see how trade can contribute to wards not only raising per capita income, but also 
countering the trend of rising share of the Kyrgyz Republic population living under the poverty line 
and reducing the size of the informal economy.  
3.28.   Finally, I look forward to listening to Members' views an d knowing more about Members' 
questions including follow -up questions. I wish  the Kyrgyz delegation an interactive Trade Policy 
Review. Thank you Chair.  
  WT/TPR/M/411 • Kyrgyz Republic  
 
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  4  STATEMENTS BY MEMBERS  
ICELAND  
4.1.  Iceland joins others in welcoming Deputy Minister Mr. Seit R ysaliev  and the distinguished 
delegation of the Kyrgyz Republic to their Trade Policy Review. We also express appreciation for the 
reports prepared, as well as to the discussant, Ambassador Tatian a Molcean  from Moldova for her 
excellent framing of the issues for our discussion today.  
4.2.  Prior to the COVID -19 pandemic, the Kyrgyz Republic had been experiencing steady economic 
growth from 2014 to 2019. However preliminary figures for 2020 show that the Kyrgyz economy 
may have contracted by as much as 10% in 2020 due to the COVID -19 pandemic.  
4.3.  As the impact of the COVID -19 pandemic are still unfolding, it is widely recogni zed that women 
are likely to be harder hit than men by trade disruptions caused by th e pandemic.  
4.4.  In September 2020, a group of WTO Members agreed to establish an Informal Working Group 
on Trade and Gender, marking the next phase of the Buenos Aires initiative kick-started  in 2017 to 
increase the participation of women in global commerce. P articipation in the Informal Working Group 
is open to all WTO Members.  
4.5.  The trade policy review provides an excellent opportunity to share best practices of respective 
experiences relating to policies and programs to encourage women's participation in natio nal and 
international trade and thus promoting sustainable socioeconomic development.  
4.6.  Iceland submitted advance written questions on the participation of women in the economy of 
the Kyrgyz Republic and thanks the delegation for the answers which will be us eful as we gather 
best practices.  
4.7.  Iceland appreciates the Kyrgyz Republic active engagement in WTO and their continued support 
for the multilateral trading system. We wish their delegation every success for their Trade Policy 
Review.   
SINGAPORE  
4.8.  Let me start by extending a very warm welcome to Deputy Minister of Economy and Finance 
of the Kyrgyz Republic1 Mr. Seit Rysaliev, and his delegation who are participating virtually. We 
thank the Kyrgyz Republic for its Government report and Statement. We also t hank the Chair, the 
Secretariat, and the discussant, Ambassador Tatiana Molce an of Moldova, for their insightful reports 
and statements. Allow me to make three points.  
4.9.  First, Singapore and the Kyrgyz Republic enjoy warm economic ties . Our bilateral trade a nd 
investment, while currently modest2, has the potential to grow. Our bilateral trade in goods saw a 
healthy 28.7% increase over the period under review (from 2013 to 2019), although there was 
expectedly a sharp drop in 2020 due to the C OVID -19 pandemic.  Nonetheless, we look forward to 
the signing and ratification of the bilateral Kyrgyz Republic -Singapore Services and Investment (S&I) 
Agreement, which is a key component of the Eurasian Economic Union (EAEU) -Singapore Free Trade 
Agreement (FTA). We are co nfident that these agreements will open up new opportunities and help 
to re-invigorate the economic links between our businesses and peoples.  
4.10.   Second, Singapore is encouraged by the Kyrgyz Republic 's efforts to promote digital 
transformation in the economy.  Through the "Digital Kyrgyzstan " (2019 -2023) strategy, the 
Kyrgyz  Republic has prioriti zed, inter alia , the development of digital skills and digital transformation 
of priority sectors of the economy. We also applaud the Kyrgyz Republic 's vision i n leading the way 
and promoting digital adoption for its businesses and people through the digitali zation of government 
services. Notably, the Kyrgyz Republic has moved towards e -government procurement, electronic 
biometric passports, and digital payments for public services. Overall, these initiatives will enable 
the development of a more resilient economy, expand opportunities in the digital economy, 
 
1 The Kyrgyz Republic joined the WTO in 1998.  
2 Total bilateral trade amounted to S GD 1.29 million in 2020.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  especially for MSMEs and women entrepreneurs, and help build the foundation for post -pandemic 
economic rec overy and future growth.  
4.11.   Third, on the multilateral front, we welcome the Kyrgyz Republic 's continued commitment to 
the WTO. In particular, we  welcome the interest of the Kyrgyz Republic in acceding to the 
Government Procurement Agreement (GPA) and look forward to a revised offer in the near future. 
We note that the Kyrgyz Republic is already a participant in the Joint Statement initiative (JSI)  on 
MSMEs and Investment Facilitation for Development (IFD), but not E -commerce. Given the priority 
placed on digitali zation domestically and the potential for digital trade to uplift MSMEs and women 
entrepreneurs, we strongly encourage the Kyrgyz Republic  to join the JSI on E -Commerce 
negotiations. We note the ongoing work by the Kyrgyz Republic concerning its outstanding WTO 
notifications, particularly on import licensing. We hope that this will be resolved as soon as possible. 
Transparency is a key pilla r of the rules -based multilateral trading system, which benefits all 
Members including the Kyrgyz Republic.  
4.12.   In conclusion, Singapore looks forward to deepening bilateral economic engagement with the 
Kyrgyz Republic and  look forward to enhancing our collaboration at the WTO. We wish the 
Kyrgyz  Republic every success for its third TPR.   
CANADA  
4.13.   Canada joins others in welcoming th e delegation of the Kyrgyz Republic to its third Trade 
Policy Review. Canada is very pleased to be participating in this important discussion.  
4.14.   We would like to express our appreciation to the Government of Kyrgyzstan and the WTO 
Secretariat for their high -quality reports. First of all, we would like to acknowledge Kyrgyzstan 's 
efforts to minimize both the negative impacts of the COVID -19 pandemic and the extra challenges 
posed by the civil unrest in October and subsequent political transition. We stand ready to cooperate 
with Kyrgyzstan to address any challenges we might be facing to rebuild a more inclusive and 
sustainable economy as we recover from the economic repercussions of the COVID -19 pandemic 
moving forward.  
4.15.   Second, we welcome Kyrgyzstan 's pursu it of more open and inclusive trade. We also welcome 
Kyrgyzstan 's acceptance of the Trade Facilitation Agreement, and its support for the full 
implementation of the Buenos Aires Declaration on Women 's Economic Empowerment. We 
encourage Kyrgyzstan to partic ipate actively in the implementation of the 2nd phase of the Buenos 
Aires Declaration.  
4.16.   Canada commends the announced intent of the Kyrgyz Government to create additional 
protection to foreign investors in upcoming legislation. We do note, however, that rec ent 
developments could suggest that existing legislative frameworks and previously secured agreements 
may be easily revisited and expose investors to unforeseen risks. This could discourage current and 
future investment.  
4.17.   Canada shares the perspective of th e Secretariat that governance remains a major obstacle 
in the development in Kyrgyzstan of a healthy climate for international trade and investment. Canada 
is extremely concerned with the recent draft amendments to the Law on Joint Stock Companies and 
their potential far -reaching consequences on foreign direct investment in the Kyrgyz Republic. While 
the experience of Canadian investors has fluctuated, recent developments are a serious cause for 
concern.  
4.18.   Foreign investment will be undermined if investors la ck confidence with respect to how their 
contracts, licences, taxation policy, and commercial arrangements will be treated. In addition to 
being the largest taxpayer, source of government revenue, and private sector employer in the 
country, current foreign investment projects are a bellwether for attracting additional foreign 
companies considering investment. A transparent and predictable business environment is in the 
interests of both the Kyrgyz Republic and foreign investors.  
4.19.   Third, we support the Governm ent's goal of diversifying export markets and supporting 
investment activities to develop new sectors with innovative exporters. We encourage the WT/TPR/M/411 • Kyrgyz Republic  
 
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  Government to initiate a long -term diversification plan that would minimi ze economic risks from 
over-reliance on a single sector.  
4.20.   We welcome the Kyrgyz Republic 's participation in the WTO 's Micro, Small and Medium -sized 
Enterprises (MSMEs) Informal Working Group and on Investment Facilitation. Moving forward, 
Kyrgyzstan could also consider joining the Joint Statement Initiatives on Electronic Commerce and 
on Services Domestic Regulation. We also encourage Kyrgyzstan to address its outstanding 
notifications, including on agriculture domestic support, agriculture export subsidies, and its new 
and full subsidy n otifications, which are critical to providing transparency and predictability to all 
Members.  
4.21.   We have submitted written questions that reflect our interests and concerns regarding on a 
range of trade  policy related measures, with several questions relating  to Kyrgyzstan 's investment 
regime. We thank the Kyrgyz Republic for providing responses, which we are reviewing and look 
forward to a constructive exchange of views on all aspects of the Kyrgyz Republic 's trade policy. We 
wish the Kyrgyz Republic a produc tive and useful Trade Policy Review.   
UKRAINE  
4.22.   On behalf of the delegation of Ukraine, I would like to welcome the delegation of the Kyrgyz 
Republic led by Mr. Seit R ysaliev  Deputy Minister of Economy and Finance. We also appreciate the 
substantial work of the TPRB Chair, the WTO Secretariat and the meaningful analysis of the 
discussant.  
4.23.   The third Trade Policy Review of the Kyrgyz Republic offers a good opportunity to gain a better 
understanding of developments in Kyrgyzstan 's economic environment, trade and investment 
regime occurred since the previous Review.  
4.24.   Ukraine commends steady growth of the Kyrgyz 's economy recorded during several years 
before the emergence of the COVI D-19 pandemic in 2020  and believes that measures adapted by 
the Government together with improvement of the quality of governance will enable the 
Kyrgyz  Republic to minimize its negative impact.  
4.25.   At a multilateral level, Ukraine appreciates the membership o f the Kyrgyz Republic in several 
groups and participation in discussions under some initiatives in the WTO and welcomes the 
acceptance of the 2005 Protocol amending the TRIPS Agreement in 2016 and the 2014 Protocol 
concerning the Trade Facilitation Agreeme nt in 2016.  
4.26.   In terms of bilateral trade relations, Kyrgyzstan is a prospective trading partner of Ukraine.  
4.27.   Ukraine reaffirms its readiness for enhancing mutual cooperation with Kyrgyzstan, including 
in the agricultural sector, to increase bilateral trade.  
4.28.   The reports, prepared by Kyrgyzstan and the WTO Secretariat, raised questions in a number 
of other areas — as detailed in Ukraine 's written submissions for this Review. The main themes 
addressed were: application of many tariff rates by the Kyrgyz Republic  above the WTO bindings 
since joining the Eurasian Economic Union; application of import and export prohibitions; 
particularities of investment regime  for foreign investors; customs valuation; use of minimum prices; 
tariff regime; application of indirect t axes; information regarding  the procedures of import licensing;  
plans on membership in the WTO Agreement on Government Procurement; development of 
agricultural cooperatives;  creation of agro -industrial clusters; protection of intellectual property 
rights etc.  
4.29.   Ukraine thanks the Government of Kyrgyzstan for its efforts to respond to our questions and 
we will be grateful for receiving answers to all submitted written questions, which we plan to review 
carefully.   WT/TPR/M/411 • Kyrgyz Republic  
 
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  CHINA  
4.30.   I would like to join others to warmly welcome the delegation of the Kyrgyz Republic led by 
H.E. Mr. Seit R ysaliev , and our gratitude also goes to the discussant, Her Excellency Ambassador 
Tatiana M olcean  for her informative report. We would also like to th ank the Chair and the Secretariat 
for the contributions to the Review.  
4.31.   China recognizes Kyrgyz Republic achievements in its economic development since the last 
Review. From 2013 to 2019, Kyrgyz Republic nominal GDP increased by 66.1%, the poverty rate fell 
from 37.0% to 20.1%, and the inflow of foreign investment increased 1.3 times. We are supportive 
of its National Development Strategy 2018 -2040, the Government's programme, and the concept of 
regional policy development to promote it s economic develop ment. We have  seen the positive impact 
of its accession to the EAEU since 2015. In the meantime, China noticed that the average applied 
most-favoured nation (MFN) rate increased from 5% in 2012 to 8.4% in 2020, and the number of 
duty-free lines decreased s ignificantly since  the Kyrgyz Republic joined  the EAEU. China is now still 
doing technical analysis in capital and  would like to work together with the Kyrgyz Republic to ensure 
that the benefits and interests of China in the WTO would not be decreased due  to such enlargement.  
4.32.   We commend  the Kyrgyz Republic constructive participation in the WTO, especially  the Kyrgyz 
Republic 's efforts to implement TFA and TRIPS Agreement, including establishing the National Trade 
Facilitation Council and the launching of the Single Window Information System. China commends  
the Kyrgyz  Republic participation in discussions under the Joint Ministerial Statement Initiatives on 
investment facilitation for development and on micro, small, and medium enterprises. We encourage  
Kyrgyzstan to continually take an active part in WTO, further enhance transparency and jointly 
uphold the open multilateral trading system.  
4.33.   The Kyrgyz  Republic  is an important neighbo ur and cooperative partner of China . China is 
Kyrgyzstan's largest trading partner before the pandemic and principal origin of foreign investment. 
China welcomes the various reforms that have been adopted towards the improvement of the 
business environment in the Kyrgyz  Republic . In the mean time, w e encourage the Kyrgyz  Republic  
to further provide a fair, equal legal regime to investors, and especially strengthen the protection of 
the personal and property safety of foreign investors.  
4.34.   China  welcomes the Kyrgyz  Republic  involvement in  the "One  Belt and One Road" initiative.  
We are looking forward to deepen ing full economic cooperation with  the Kyrgyz  Republic  and will 
work together with the Kyrgyz  Republic  specially to increase imports from Kyrgyzstan.  
4.35.   Finally, we thank the Kyrgyz Republic responses to our questions,  and I wish the 
Kyrgyz  Republic  every success in the  third Review.   
KINGDOM  OF SAUDI  ARABIA  
4.36.   The Kingdom of Saudi Arabia is very pleased to take part in the third Trade Policy Review of 
the Kyrgyz Republic and wishes to extend a very warm welcome to the delegation of the Kyrgyz 
Republic headed by H.E. Mr . Seit R ysaliev , Deputy Minister of Economy and Finance.  
4.37.   I would like to take this opportunity to thank the Government of the Kyrgyz Republic and the 
Secretariat of the WTO for their detailed and comprehensive trade policy review reports. I also thank 
the discussant H.E. Mrs . Tatiana M olcean  from Moldova fo r her insightful and perceptive comments . 
4.38.   We are very happy to see that during the review period which was marked by the negative 
impacts  of COVID -19 on sectors such as commerce, tourism, and travel , the Kyrgyz Republic has 
maintained an open trade regime, with various measures such as a "paperless trade " initiative and 
a "single window " for customs, diversification of export products and markets, improving business 
and investment climate and amending its protection of intellectual property rights regime and 
government procurement system . 
4.39.   The Kingdom of Saudi Arabia highly commends the Kyrgyz Republic for its National 
Development Strategy for 2018 -2040 underpinned by its development policy which aims at 
transforming the country into  a successful and developed state with a well -diversified digital WT/TPR/M/411 • Kyrgyz Republic  
 
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  economy focused on providing employment, stable income, attractive conditions for the 
entrepreneurs, application of innovative a nd environmentally friendly technologies  and organic 
agriculture.  
4.40.   We also welcome the measures undertaken by the Government of the Kyrgyz Republic to 
facilitate tourism included liberalization of visa requirements and amendments to the Air Code that 
entere d into force on 25  January  2019.  
4.41.   The Kingdom of Saudi Arabia and the Kyrgyz Republic are prominent trading partners.  
4.42.   During the period between 2016 and 2018, Saudi Arabia 's imports to the Kyrgyz Republic rose 
by 61.3% and Saudi Arabia imports from the Kyrgyz Republic increased by 77%.  
4.43.   During the official visit of the President of the Kyrgyz Republic to the Kingdom of Saudi Arabia 
in 2019, several agreements and Memorandums of Understanding (MoUs) were signed in the fields 
of civil defen ce, youth and spo rts, veterinary safety and phytosanitary regulations for agricultural 
and animal products, science and education as well as constructions and transport.  
4.44.   To conclude, I would like to wish the entire delegation of the Kyrgyz Republic a very successful 
Trade Policy Review.  
EUROPEAN  UNION  
4.45.   I would like , as previous speakers,  to welcome the delegation from the Kyrgyz Republic, led 
by H.E. Mr . Seit R ysaliev , Deputy Minister of Economy and Finance of the Kyrgyz Republic. I would 
also like to thank the Ambassador f rom Moldova for being such a good discussant.  
4.46.   In modern times, the EU and the Kyrgyz Republic share a strong commitment to the WTO, 
and we look forward to further working together to strengthen the rules -based multilateral trading 
system. In particular, we would like to congratulate the Kyrgyz Republi c for joining the WTO Trade 
Facilitation Agreement in 2016, and for submitting the notifications for its Category A, B, and C 
commitments. We also  welcome the Kyrgyz ratification of the Protocol amending the TRIPS 
Agreement in 2017. We appreciate  the Kyrgy z Republic 's participation in some of the JSIs. We very 
much encourage Kyrgyzstan to take part in all of them, as the JSIs constitute an important and 
forward -looking  agenda for international trade and the WTO.  
4.47.   Since 2016, the EU and the Kyrgyz Republic ha ve enjoyed favourable cooperation under the 
EU Special Incentive Scheme for Sustainable Development and Good Governance ( 'GSP+ '). We 
encourage the Kyrgyz Republic to make greater use of the Scheme in the future, as it would  facilitate 
your post-pandemic ec onomic recovery.  
4.48.   The main change in Kyrgyzstan 's trading regime since the previous TPR is , of course,  the 
Kyrgyz accession to the Eurasian Economic Union ( 'EAEU ') in 2015. This is led to significant changes 
in the Kyrgyz tariff regime, as the country now a pplies the EAEU external tariff and this has led to 
an increase in tariffs in many  areas.  
4.49.   Following the Kyrgyz Republic 's accession to the EAEU, the EU has engaged in compensation 
negotiations. We welcome the progress made on tariffs for non -agricultural goods, where an 
agreement in principle has been reached. However, when it comes to agricultural products, the 
Kyrgyz Republic has been slow to offer meaningful compensation for the substantial reductions in 
market access the EU now faces. We invite  the Kyrg yz Republic to engage constructively on this 
matter.  
4.50.   We attentively follow the development of the EAEU internal market. We note that certain 
technical regulations have created difficulties for European exporters. In particular, we would like to 
draw attent ion to the Technical Regulation on the Safety of Alcoholic Products. This technical 
regulation deviates from international standards and from WTO rules, especially on GIs. In addition, 
discrepancies between national legislations and this technical regulation will lead to trade barriers. 
Another key area of interest for the EU is the creation of the single market for medicines and medical 
devices. We would be interested to hear how Kyrgyzstan assesses progress achieved in moving 
towards thes e two single markets.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  4.51.   The EU would like to highlight the Secretariat report' and conclusion that despite maintaining 
an open investment regime , the Kyrgyz  Republic has yet to develop a business environment that is 
conducive to investment. Foreign direct investment inflows in the Kyrgyz Republic are not substantial 
(the accumulated FDI amounted to USD 7.2 billion over the period 2012 -2019).  
4.52.   While we recogni ze that fac ilitating FDI inflows has been an identified priority for the Kyrgyz 
Government, the EU would like to underline the importance of further improving the country 's 
investment climate. This would contribute to economic diversification and the country 's 
post-pandemic economic recovery.  
4.53.   Finally, the EU encourages the Kyrgyz Republic to embark on an economic recovery that is 
green and inclusive. Facing very significant challenges relating to industrial and agricultural pollution, 
the Kyrgyz  Republic  should seek g reater public and private investment to green its economy . 
4.54.   The EU hopes that its comments, and those of other Members, will support the Kyrgyz 
Republic in reforming its economic and trade policies. The EU thanks the Kyrgyz delegation for 
undergoing this im portant transparency exercise in a virtual format and despite the ongoing 
challenging circumstances. On behalf of the EU, I wish the Kyrgyz Republic a very productive and 
excellent  Review .  
UNITED  STATES  
4.55.   The United States is pleased to welcome Deputy Minis ter Mr. Seit Rysaliev and the rest of the 
Kyrgyz Republic delegation to the third Trade Policy Review of the Kyrgyz Republic . We welcome the 
Secretariat and Government reports and appreciate the opportunity to gain a clearer sense of the 
changes to the Kyrgyz Republic 's trade and investment policies since its last review in 2014.  
4.56.   In 1998, the Kyrgyz Republic was the first country from the Commonwealth of Independent 
States to accede to the WTO. Since then, it has established itself as an important Member  of the 
WTO community by contributing to WTO committee work and negotiations. However, we note that 
according to the Government Report, "since 2015, the main direction in the trade policy of the Kyrgyz 
Republic has been associated with the processes of reg ional economic integration within the 
framework of the Eurasian Economic Union (EAEU). " 
4.57.   Several of the questions that we submitted in writing for this Trade Policy Review seek 
information on how the Kyrgyz Republic will ensure that the process of adopting EAEU regulations 
complies with WTO provisions and commitments. For example, we hope to gain additional insights 
into how EAEU regulations are being applied in the process of custom valuations and the adoption 
of intellectual property regulations. We also h ave some concerns about some existing compliance 
issues in the Kyrgyz Republic's current trade policy, such as the exports incentives being provided 
in the textiles and dairy sectors. In addition, we see that notifications are long overdue in numerous 
areas. Notifications are a central way for WTO Members to understand and monitor developments 
in one another's trade policy. In particular, we are requesting details for the regulations regarding 
food safety. Additionally, we look forward more detailed informa tion on the Kyrgyz Republic 's State 
Owned Enterprises (SOE) privatization program, harmonization with international standards, and 
export subsidies.  
4.58.   The United States and the Kyrgyz Republic enjoy a partnership across a range of issues based 
on shared valu es and principles. Our governments regularly consult with each other on issues of 
mutual importance and both recognize the value of continued cooperation on issues such as 
international trade. In March 2021, our two governments met as part of the U.S. -Central Asia Trade 
and Investment Framework Agreement (TIFA) meetings. We discussed with our Kyrgyz counterparts 
ways to work toward enhancing regional trade and deepening our bilateral trade relationship. The 
United States has a bilateral investment treaty wi th the Kyrgyz Republic and provides Generalized 
System of Preferences benefits to its traders.  
4.59.   The United States provides various forms of technical and foreign assistance to help the 
Kyrgyz Government and economic operators in the Kyrgyz Republic to furth er develop the economy 
and take advantage of trade opportunities. Under the TIFA working groups, the US Department of 
Commerce's Commercial Law Development Program has provided the Kyrgyz Republic with 
assistance on customs, sanitary and phytosanitary meas ures, standards, and intellectual property WT/TPR/M/411 • Kyrgyz Republic  
 
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  rights.  The US Agency for International Development (USAID) assists the Kyrgyz Government in the 
implementation of its economic policy reform agenda to promote business development, economic 
growth, and job creati on. USAID is working in the areas of energy and agricultural trade, among 
others.  
4.60.   In closing, I would like to emphasize that the Kyrgyz Republic is a valued partner of the United 
States, and that our cooperation in the WTO is an important element of our pa rtnership. We look 
forward to working closely with the Kyrgyz Republic at the WTO, including to reform the WTO so 
that it is viable forum for meaningful negotiations. We wish the Kyrgyz Republic a productive 
dialogue during this Trade Policy Review and we thank the delegation for its attention to our 
questions.   
TURKEY  
4.61.   I would like to  extend  a very warm welcome to  H.E. Mr. Seit Rysaliev,  Deputy  Minister of 
Economy and Finance of the Kyrgyz Republic and his delegation.  
4.62.   We thank the Secretariat and  the Government of  the Kyrgyz Republic  for their comprehensive 
reports, as well as Ambassador Mrs . Tatiana Molcean  of Moldova  for her  invaluable contribution to 
this Review.  
4.63.   Since the last Review,  the Kyrgyz Republic applied National Development Strategies to e nsure 
macroeconomic stability and to create proper business and investment environment. As a result, the 
economy recorded several years of steady growth,  although  negative effects of the pandemic were 
visible in 2020.  
4.64.   During the review period, the Kyrgyz e conomy achieved further integration into the 
multilateral trading system with liberalization of the trade regime . 
4.65.   We welcome the  acceptance of the "2005 Protocol Amending the WTO Agreement on TRIPS 
Agreement " and "2014 Protocol Concerning the Trade Facilit ation Agreement  (TFA) " in 2016  which 
shows  the country 's firm commitment to  the multilateral trading system.  
4.66.   The Kyrgyz Republic  maintains an open investment regime with a few formal entries  of 
ownership restrictions. We are very pleased to see that FDI inflows recently increased and the 
country improved its ranking on the World Bank Doing Business Index.  
4.67.   Turkey is the first country which recognized the independence of the Kyrgyz  Republic.  We 
have always supported the pros perity and stability of friendly and brotherly Kyrgyzstan , as well as 
its endeavours towards further integration into the global economy.  
4.68.   Our relations are  at the level of strategic partnership in every field. Multidimensional relations 
are carried out within the framework of a broad legal basis consisting of more than two hundred 
agreements and protocols.  
4.69.   With a few exceptions, our trade volume has steadily increased since 2002 and has reached 
the threshold of USD 500 million in 2019. We have set a trad e target of USD 1 billion and hope to 
achieve it as soon as C OVID -19 challenges  are overcome . 
4.70.   In terms of the country's foreign trade, Turkey is the 5th largest export destination and 
4th largest import destination of Kyrgyzstan.  
4.71.   We recently  amended  the Ag reement of Reciprocal Promotion and Protection of Investments 
between our countries which we believe will help to boost investments.  Kyrgyzstan is an important 
destination for Turkish investors.  
4.72.   We are also pleased to see that Turkish contractors operating  in Kyrgyzstan contribute to 
development objectives of the country through projects in the fields of transportation, energy and 
tourism.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  4.73.   We are looking forward  to further develop our economic ties. There are plenty of sectors that 
Turkish and Kyrgyz business people can cooperate.  
4.74.   Before concluding, we  want to thank our  colleagues  at the Permanent Mission of  Kyrgyz 
Republic  for their active contributions and constructive engagement in the negotiations at the WTO 
and their close cooperation with our delegation.  We wish the Kyrgyz Republic a very successful 
review.  
THAILAND  
4.75.   Thailand is delighted to participate in the third Trade Policy Review (TPR) of the 
Kyrgy z Republic. We would like to welcome H.E. Mr . Seit R ysaliev  and his delegation . 
4.76.   We would like to thank the TPRB Chair and the discussant, Her Excellency Madam Ambassador 
Tatiana M olcean  of Moldova for  her in -dept comments. We  also thank the Government of the 
Kyrgyz  Republic and the WTO Secretariat for their useful and comprehensive reports.  
4.77.   Thailand and the Kyrgyz Republic have had increasing economic and commercial ties. In 2020, 
total trade value between Thailand and the Kyrgyz Republic amounted to almost USD 1.9 million, 
rising by  27.15% from 2019. Major traded products are iron and steel and mineral fuels and chemical 
products. We believe that Thailand and the Kyrgyz Republic can work together to tap into numerous 
potentials  in order to increase trade and economic linkages between the two  countries.  
4.78.   Thailand welcomes the efforts of the Kyrgyz Republic to provide and maintain an open and 
transparent  investment regime . These efforts bear fruits in the form of steadily increasing FDI inflows 
into the country and improved ranking on the World Bank Doing Business Index. We encourage the 
Kyrgyz Republic to continu e to make its investment regime  predictable and to promote and  diversify 
the country 's exports, especially in manufacturing, in order to spur the country 's future economic 
development. We also wish the Kyrgyz Republic all the best to get through the difficult times during  
the C OVID -19 pandemic.  
4.79.   In this Review, Thaila nd submitted a set of questions, concerning specific policy areas of the 
Kyrgyz Republic, including investment promotion, investor protection, import restrictions, and customs 
valuation. We would like to thank the Kyrgyz Republic for her timely responses t o our questions.  
4.80.   In closing, Thailand looks forward to strengthening the cooperation in all aspects between the 
two countries and wishes the Kyrgyz Republic a successful third Trade Policy Review.  
INDIA  
4.81.   My delegation is pleased to participate in the third Trade Policy Review of the Kyrgyz Republic. 
On behalf of India, I would like to welcome the delegation of the Kyrgyz Republic led by 
H.E. Mr. Seit Rysaliev, Deputy Minister of Economy and Finance of the Ky rgyz Republic and his team 
for the TPR. We thank H.E. the Minister for his comprehensive Opening Statement, Ambassador 
H.E. Mrs. Tatiana Molcean of the Republic of Moldova, for her insightful observations as the 
discussant, and the Secretariat and the Gove rnment of the Kyrgyz Republic for the reports prepared 
for the Review.  
4.82.   India and the Kyrgyz Republic enjoy close and friendly ties. The Kyrgyz Republic is an 
important partner for India in the Central Asian region, which is India 's civilizational neighbourhood. 
It is also an important partner for India under the SCO framework. During the visit of Prime Minister 
Modi to the Kyrgyz Republic in 2019, the bilateral relationship was elevated to strategic partnership, 
which among other t hings envisaged robust expansion in bilateral ties in the areas of economy and 
trade, security and defence and technology and culture. A number of agreements reached during 
that visit including in the area of Avoidance of Double Taxation, Bilateral Investm ent Treaty and a 
Five-year Roadmap on Trade and Economic Cooperation have provided a solid basis for further 
deepening of our ties.  
4.83.   The bilateral trade between India and the Kyrgyz Republic was US D 30.46 million during 
2019-20. India 's total investments in  the Kyrgyz Republic are over US D 22 million, which includes WT/TPR/M/411 • Kyrgyz Republic  
 
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  investments in manufacturing plants in the country, which has contributed to job creation and 
industrial output in the country.  
4.84.   India is also an important development partner of  the Kyrgyz Republ ic and has assisted in the 
setting up of an IT centr e, Potato processing plant, Language laboratory, Tele -medicine links 
connecting hospitals and supply of equipment for cancer treatment.  
4.85.   As a friend and partner, India fully understands the challenges that  the Kyrgyz Republic faces 
as a land locked  LMIC country. Our bilateral trade linkages have also faced challenges due to lack of 
proper access and connectivity. With the development of the Chabahar Port in Iran, we hope our 
bilateral trade will receive the necessary impetus in the coming years.  
4.86.   We are pleased to note from the Secretariat 's report, the many positive accomplishments 
made by the Kyrgyz Republic — steady growth, rapid strides in the services sector, prudent fiscal 
management, membership of the Eurasian Economic Union (EAEU) etc . — during the review period 
and we compliment the Government and People of the Kyrgyz Republic for the same. We also 
commend Kyrgyz Republic 's commitment to the multilateral trading system and welcome its 
ratification of the Trade Facilitation Agreement Protocol a nd the amendment to the TRIPS agreement 
Protocol in 2016.  
4.87.   We also encourage  the Kyrgyz Republic to overcome the challenges faced in ensuring effective 
governance, undertake the necessary reforms to improve the business climate, address the 
infrastructure b ottlenecks and finally, do all it can to fulfil the notifications obligations at the WTO. 
India remains fully committed to closely working with the Kyrgyz Republic, both bilaterally and at 
the multilateral fora, to advance our common goals.  
4.88.   I wish our frie nds from the Kyrgyz Republic a productive and successful TPR.   
MAURITIUS  
4.89.   The Mauritius delegation welcomes the delegation of the Kyrgyz Republic and congratulate s 
the Government of Kyrgyzstan and the WTO Secretariat for successfully completing the third Trade 
Policy Review of the country despite these trying times.  We also thank the discussant , 
H.E. Ambassador Mrs. Tatiana Molcean of Moldova , for her insights about  the TPR report.  
4.90.   We are glad that the Kyrgyz Republic has shown steady progress during the review period but 
unfortunately, like many of us, including Mauritius, the pandemic has taken a heavy toll on the 
Kyrgyz economy.  
4.91.   Nonetheless, the progress made by the country and the measures taken during the review 
period show the determination of the Government of Kyrgyzstan to overcome its challenges in 
particular with respect to issues such as  internal transport, infrastructure, and economic 
development and dive rsification.  
4.92.   It is a fact that growth in services sector is often an indication of a country 's economic 
development and the Kyrgyz Republic has indeed shown signs of diversification  in its economy.  
4.93.   We are happy to note that the accession of the Kyrgyz  Republic in the Eurasian Economic 
Union (EAEU) has positively impacted on the country and its trade measures.  It has led to a number 
of reforms, not only on tariff -based market access but also on other trade related measures and 
frameworks such as competition law or trade remedies.  
4.94.   Furthermore, the Government of Kyrgyzstan has also made strides towards good governance 
and combat ing of corruption and we are sure that this progress will continue.  
4.95.   While it is good to review the economic and trade profile of a country, it is just as important 
to reali ze that, at the end of the day, trade is only a means to an end.  It is important to appreciate 
the direct contribution of trade to the lives of the people.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  4.96.   In this respect, we are pleased to see that the poverty rate in Kyrgyzstan has significantly 
decreased, from 37.0% in 2013 to 20.1% in 2019.  The diversification process has created new types 
of jobs and the country 's integration with regional partners has creat ed fresh opportunities for the 
labour force to move across borders.  
4.97.   The Kyrgyz Republic is a country that we feel has clearly benefit ed from the multilateral 
system and from trade integration. This goes to show that trade openness, good governance and 
transparency breed economic development and progress.  
4.98.   Ease of doing business and regulatory certainty are very important for international players 
and investors. Trade is about inclusivity and we encourage the Kyrgyz Republic to pursue its 
endeavours in that d irection.  
4.99.   Mauritius and the Kyrgyz Republic, no doubt because of geography and distance could not 
develop its bilateral relations in a significant manner. We see Kyrgyzstan as the land of the 
mountains and hope to improve trade with the country once we hav e been able to negotiate an 
agreement with EURASIA.  
4.100.   We wish Kyrgyzstan economic prosperity and success and , like for all of us, a rapid recovery 
from the pandemic.   
RUSSIA N FEDERATION  
4.101.   Russia warmly welcomes the delegation of the Kyrgyz Republic, led by H.E. Mr. Seit Rysaliev, 
Deputy Minister of Economy and Finance. We express sincere appreciation for the efforts and 
contributions of the discussant, H.E. Mrs . Tatiana M olcean  of Moldova, and the WTO Secretariat.  
4.102.   The Kyrgyz Republic joined the WTO in Decemb er 1998 on highly liberal conditions. In spite 
of substantial social and economic difficulties faced by the country, the Kyrgyz Republic proved itself 
as a responsible Member of the Organization, demonstrating unwavering commitment to the 
multilateral trad ing system.  
4.103.   We welcome the achievements of the Kyrgyz Republic  since their last TPR and particularly 
in the development in the IPR area, bringing legislation in line with international standards and the 
EAEU law. We also appreciate efforts aimed to stimula te innovations.  
4.104.   We are pleased to notice MSMEs  — related section in the Government Report, as prescribed 
by the Recommendation on the collection and maintenance of MSME  — related information which is 
a part of the package of endorsed in December 2020 by an  Informal Working group on MSMEs.  
4.105.   We commend the efforts of Kyrgyz authorities to modernize the national economy, which 
resulted in several years of steady growth before the COVID -19 pandemic. This 4 -5% annual GDP 
increase is especially laudable bearing in  mind the inherent difficulties that this land locked  
mountainous country has to deal with.  
4.106.   Since 2015, the main direction in the trade policy of the Kyrgyz Republic has been associated 
with the processes of regional economic integration within the framework of the Eurasian Economic 
Union (EAEU). The entry of the Kyrgyz Republic into the Union st imulated reforms and 
implementation of good governance practices, permeating all areas of economy and impacting its 
international trade regime. The customs legal framework and practice underwent significant 
revisions, the tariff regime was changed, import and export restrictions and prohibitions were 
amended, national rules on trade remedies were phased out and replaced by that of the Union. The 
accession to the EAEU Treaty also had significant effect for the Kyrgyz Republic in other areas. This 
move, inter alia, facilitated the employment of Kyrgyz labourers in other EAEU member states. 
Transport development policy and infrastructure were improved as part of the efforts to create a 
common EAEU transport area by 2025. Overall, changes introduced by the membe rship in the EAEU 
had a significant positive affect on Kyrgyz trade and investment flows.  
4.107.   Speaking of our bilateral relations, I would like to state that the Russian Federation and the 
Kyrgyz Republic are closely linked through a strategic privileged partn ership built upon mutual WT/TPR/M/411 • Kyrgyz Republic  
 
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  respect, trust,  and common interests.  Broadening trade and economic cooperation is one of our 
common overarching goals. We take note with satisfaction that Russia 's share in Kyrgyz international 
trade grew over the years and presen tly amounts to 27%. The COVID -19 pandemic did not thwart 
the trade flows between our countries that amounted in 2020 to almost USD 1,7 billion. This 
constitutes only a modest decline of around 10% in comparison to the previous year, which we hope 
to prompt ly reverse in the future. Russia exports minerals and metals, food and raw agricultural 
materials, equipment and vehicles, wood, chemical and paper products. We import Kyrgyz food and 
agricultural products, textiles, footwear, metals, equipment and vehicle s. 
4.108.   The Russian Federation plays a major role as one of the key economic and international trade 
partners of the Kyrgyz Republic. We foster bilateral collaboration in the fields of electric energy, oil 
and gas, industry and geology, agriculture, transport, communications, public health, education, 
science, social development, protection of the environment, as well as banking and customs. Several 
major Russian industrial companies are working in Kyrgyz Republic. The number of joint ventures is 
on the rise, to taling over 700 in 2019.  
4.109.   Since the Kyrgyz economy was hit hard by the COVID -19 pandemic, Russia provides our 
Kyrgyz neighbo urs with assistance in overcoming its adverse effects, including through delivery of 
the Sputnik -V vaccine, the first shipments havin g arrived in April 2021. Russia also renders financial 
and technical support for implementing the final parts of the Kyrgyz EAEU accession road map, with 
a focus on the digital economy agenda and incorporation of electronic commerce systems.  
4.110.   In conclusion,  I wish our Kyrgyz friends a successful Trade Policy Review.   
REPUBLIC  OF KOREA  
4.111.   I would like to join the previous speakers in welcoming the delegation of the Kyrgyz Republic 
to its third Trade Policy Review. I would like to especially appreciate the Deputy Minister of Economy 
and Finance for his comprehensive presentation.  
4.112.   My special appreciation also goes to H.E. Mrs . Tatiana M olcean  (of Moldova) for her valuable 
contribution as a discussant and the Secretariat for its informative report.  
4.113.   Korea is pleased to note that bilateral trade volume has increased by about 107 times sin ce 
the establishment of diplomatic ties with Kyrgyzstan in 1992. It is highly possible to expand bilateral 
exchange even further in the future. Korea looks forward to closely cooperating with Kyrgyzstan to 
promote bilateral trade and investment.  
4.114.   Korea woul d also like to commend the efforts of the Kyrgyz Government since its accession 
to the Eurasian Economic Union (EAEU), such as efforts to be in accordance with EAEU regulations 
and standards including those regarding tariffs, technical regulations, and com petition. In particular, 
the exemption of its customs control in the Kyrgyz -Kazakh border area will greatly contribute to 
trade and investment through the vitalization of logistics and shipping within the double -landlocked 
land of Kyrgyzstan.  
4.115.   However, as n oted in the Secretariat 's report, there have been issues of customs clearance 
in the Kyrgyz -Kazakh border area due to matters including cargo inspection. This issue has been 
raised by Kyrgyzstan as well at the WTO General Council in March last year. Moreov er, the difficulties 
involved with this issue were notified by the Kyrgyz Government at the WTO Committee of Trade 
Facilitation and the Council for Trade in Goods (CTG) in January last year.  
4.116.   The issue of delay in customs clearance on the Kazakh border may act as a hindrance to 
trade, for not only EAEU members but also other countries including Korea and for local business 
activities, as it is necessary for a substantial amount of goods to cross the Kyrgyz -Kazakh border 
due to Kyrgyzstan 's geographical locat ion. 
4.117.   For Korea and Kyrgyzstan there is currently no direct flight. Therefore, it would be integral 
to resolve the issue of delay in customs clearance in the Kazakh border to expand bilateral trade 
and for the entrance of Korean businesses into the Kyrgyz m arket. Korea looks forward to the WT/TPR/M/411 • Kyrgyz Republic  
 
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  interest and active efforts of the Kyrgyz Government toward free and lively trade in accordance with 
WTO and EAEU regulations.  
4.118.   Taking this opportunity, Korea would like to point out one part in the Secretariat report, in 
Table 2.1 on page 36 about Bilateral Investment Agreements. To clarify, the "Date of Entry into 
Force " of the investment guarantee agreement between Korea and Kyr gyzstan is 8 July  2008.  
4.119.   Korea would like to reiterate the efforts made by the Kyrgyz Government toward facilitating 
trade. Let me conclude by expressing my sincere appreciation once more to the delegation of 
Kyrgyzstan  for its hard work and wishing the d elegation every success in this TPR.   
JAPAN  
4.120.   Let me first extend a warm welcome to this third TPR meeting to the distinguished delegation 
of the Kyrgyz Republic headed by H.E. Mr . Seit R ysaliev , Deputy Minister of Economy and Finance. 
We sincerely appreciat e the dedicated efforts made by the Kyrgyz Republic and the WTO Secretariat 
to prepare the insightful reports shared with the members in advance of today's review. We are also 
grateful to the discussant, H.E. Mrs . Tatiana Molcean , Ambassador of the Republic of Moldova, for 
her insightful remarks.  
4.121.   Since the COVID -19 pandemic has severely impacted the world economy, we recognize that 
the Kyrgyz Republic has been continuing its efforts for recovery from the economic recession that 
has hit the country. I n addition, we believe that the Kyrgyz Republic 's economic structure reform is 
beneficial in terms of departing from its reliance on the mining sector and remittances from 
emigrants, which account for about 30% of the country 's GDP. We expect the Kyrgyz Re public to 
attain stable and sustainable economic development as part of the multilateral trading system as 
well as political stability under president Japarov 's leadership based on free and fair rules.  
4.122.   Bearing in mind the fact that the ratio of the Kyrgyz Republic 's external debt exceeds 50%, 
we recognize the need to convert to a self -driven economy for economic revitalization. According to 
the proposal in the government 's national policy, we expect the Kyrgyz Republic will make a 
nationwide effort to addre ss the expansion of the export industries and promotion of FDI.  
4.123.   Especially, we note with interest the policies the Kyrgyz Republic has adopted to promote its 
industries. These include policies on the development of the textile and apparel industry  and on t he 
export of agricultural products focusing on organic food, which is a staple industry of rural areas. 
The Kyrgyz Republic  has also been working to further develop its current digital policy in the aim of 
becoming an IT hub in central Asia.  
4.124.   On the foreign  investment policy, we recognize that currently the Kyrgyz Republic 's plans to 
amend its Investment Law. Japan welcomes the Kyrgyz Republic 's efforts to improve its investment 
climate through constructively engaging in the ongoing negotiation on the Japan -Kyrgyz Republic  
investment agreement, through making improvements to its legal system, and through conducting 
a review of its tax regime. We also expect the Kyrgyz Republic  to increase its efforts to promote 
foreign direct investment, including from Japanese companies, through means such as increasing 
incentives for foreign investment.  
4.125.   Since the Kyrgyz Republic  acceded to the WTO as the first M ember from the Commonwealth 
of Independent States, we recognize the Kyrgyz Republic 's proactive engagement with the 
Organization. This includes, inter alia , the Kyrgyz  Republic 's ratification of the Trade Facilitation 
Agreement in 2016 and the fact that it  is considering joining  the GPA. We also welcome the Kyrgyz 
Republic 's efforts  to positively engage with the creation of new rules through its joining of several 
Joint State Initiatives.  We expect the Kyrgyz Republic to continue addressing its domestic cha llenges 
and building a robust economy, while actively participating in the activities of the WTO.  
4.126.   In conclusion, Japan appreciates the Kyrgyz Republic  making this third TPR meeting possible 
in spite of  the current situation with the pandemic. Japan also expects that a stable business 
environment will help to enable foreign businesses to fully engage in both trade and investment in 
the Kyrgyz Republic , thereby contributing to the sustainable development of the country 's economy. 
Last, but not least, w e wish the Kyrgyz Republic a successful and productive third TPR.   WT/TPR/M/411 • Kyrgyz Republic  
 
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  HONDURAS  
4.127.   On behalf of the Republic of Honduras, we welcome and congratulate the authorities of the 
Kyrgyz Republic on the occasion of their t hird Trade Policy Review.  
4.128.   We extend a warm welcome to the entire distinguished delegation, led by the Head of 
Delegation, His Excellency Mr  Seit Rysaliev, Deputy Minister of the Economy and Finance, and extend 
our greetings to our colleagues from the Missi on in Geneva.  
4.129.   We thank the discussant for providing an analysis, the WTO Secretariat for its report and the 
authorities of the Kyrgyz Republic for presenting their policy statement.  
4.130.   An examination of the reports shows that, during the period under review, the main 
directions of the trade policy of the Kyrgyz economy were associated with further integration into 
the multilateral trading system with liberalization of the trade regime, in the context of both WTO 
commitments and the processes of regional econom ic integration.  
4.131.   We also note that the Kyrgyz economy recorded several years of steady growth before the 
emergence of the COVID -19 pandemic in 2020 and that GDP in constant prices expanded at an 
annual rate of between 4% and 5% from 2014 to 2019.  
4.132.   We note th at the entry of the Kyrgyz Republic into the Eurasian Economic Union (EAEU) in 
2015 facilitated the regularization of visa and work permits for migrating Kyrgyz labourers, and 
affected bilateral trade and investment flows positively. Remittances amounted t o around 
31% of GDP in 2017, which is a significant percentage.  
4.133.   An examination of the reports also shows that the Kyrgyz Republic has been active in 
updating and amending its main competition laws, mainly to align them with the EAEU Model Law 
on Competition. We also note that the process for its accession to the WTO Government Procurement 
Agreement was ongoing.  
4.134.   We are pleased to note that, in 2017, the Kyrgyz Republic became the first country in 
Central  Asia to join the international Open Governme nt Partnership programme. Moreover, in 
accordance with Strategy 2040, the authorities have indicated that digital technologies will be 
introduced as a priority in such areas as education, health care, tourism, agriculture, 
telecommunications, banking, ligh t industry and construction. This is evidence of the country's 
interest in the promotion and pursuit of these technologies.  
4.135.   Lastly, we commend the Kyrgyz Republic on its significant achievements and efforts during 
the review period and wish it every succes s. 
BRAZ IL 
4.136.   Brazil would like to welcome the Kyrgyz Republic delegation led by Mr . Seit R ysaliev . We 
thank the Kyrgyz Republic, the Secretariat and the discussant, Ambassador Tatiana M olcean , for 
their contributions and you, Madam Chair, for your opening comments.  
4.137.   We are very pleased to participate in the third Trade Policy Review of the Kyrgyz Republic. 
The opportunity to review the trade policies of Members is a demonstration of the relevan ce of WTO's 
monitoring pillar. Brazil, as always, attaches great importance to this exercise.  
4.138.   Brazil is also pleased to see that the market, regulatory and land reforms undertook by the 
Kyrgyz Republic since its independence have paved the way for several years of steady growth, with 
GDP in constant prices expanding at an annual rate of between 4% and 5% during the period under 
review. It is also worth observing that the entry of the Kyrgyz Republic into the Eurasian Economic 
Union in 2015 had a positive im pact in trade and investment flows.  
4.139.   Since the establishment of our diplomatic relations in 1993, the Kyrgyz Republic and Brazil 
have succeeded in building a bilateral relationship based on trust and openness to cooperation. We WT/TPR/M/411 • Kyrgyz Republic  
 
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  note, however, that our b ilateral trade is quite modest and would benefit from mutual efforts to 
expand these flows.  
4.140.   As regards the economic measures mentioned in the Report of the Secretariat, Brazil 
commends  the Kyrgyz Government for accepting the 2005 Protocol amending the TRIPS Ag reement 
and the 2014 Protocol concerning the Trade Facilitation Agreement, which shows that the Kyrgyz 
Republic is a strong supporter of the TFA and is actively working on implementing its provisions 
through the Council for Trade Facilitation.  
4.141.   Furthermore,  Brazil welcomes the advances in government procurement during the review 
period. As Brazil is also in the process of accession to WTO Government Procurement Agreement, 
we see the membership to the GPA as a priority as well.  
4.142.   We also congratulate the Kyrgyz  Government for having introduced legislation to implement 
a common sanitary and phytosanitary framework for Eurasian Economic Union member States. It is 
also worth noting the major efforts undertaken to upgrade Kyrgyz facilities that certify exported 
products and to establish its WTO national enquiry point and national notification authority for SPS 
issues.  
4.143.   At the present moment, a matter of concern is the change observed in the tariff regime of 
the Kyrgyz Republic as it now applies the Eurasian Economic U nion Unified Customs Tariff. This 
means that the average applied most -favoured nation rate increased from 5% in 2012 to 8.4% in 
2020, the number of duty -free lines decreased significantly, and tariff -rate quotas are now applied 
on four categories of produc ts, including meat products and raw cane sugar. We understand that 
this is an ongoing process but, as stated in the Secretariat report, 3,880 tariff lines still exceed their 
respective WTO bound rate of duty. Brazil expects that  the tariff harmonization process not to reduce 
or hamper the market access for its exports to the Kyrgyz Republic.  
4.144.   Let me finish  by wishing the Kyrgyz Republic a very productive Trade Policy Review.   
VIET  NAM 
4.145.   Viet Nam welcomes the opportunity to participate in the th ird Trade Policy Review of the 
Kyrgyz Republic and  would like to extend our warm welcome  to the delegation of the Kyrgyz Republic  
led by  H.E Mr . Seit Rysaliev  — Deputy Minister of Economy and Finance of the Kyrgyz Republic.  
4.146.   We appreciate the efforts of the Government of the Kyrgyz Republic  and the Secretariat in 
producing informative reports and the discussant , H.E. Mrs. Tatiana Molcean of the Republic of 
Moldova  for her insightful commen ts. 
4.147.   The third Trade Policy Review of the Kyrgyz Republic provides a good opportunity for 
Members to understand its economic environment, trade and investment regimes.  Viet Nam 
commends the Kyrgyz Republic for its achievements made under the review period. We a re also 
delighted to know from the Secretariat report that the GDP in constant prices of the Kyrgyz Republic 
expanded at an annual rate of between 4% and 5% from 2014 to 2019 and under the review period, 
the customs legal framework and practice of the Kyrg yz Republic underwent  significant revisions 
and there are also developments in standards, technical regulations and conformity assessments, 
competition policy, protection of intellectual property rights.  
4.148.   With regards to the Kyrgyz Republic and Viet Nam bilateral cooperation, there has been 
substantial development thanks to efforts of both parties . In 2015, Kyrgyzstan joined the Eurasian 
Economic Union (EAEU), along with other four members including Russia, Belarus, Kazakhstan and 
Armenia. Viet Nam became th e first country to sign a Free Trade Agreement, which entered into 
force in 2016, with the EAEU. The agreement has proved its effectiveness and positively affected 
the trade and economic relations between us.  According to our statistics, trade turnover bet ween 
the two countries in 20 20 was USD 1.8 million — a threefold increase compared to 2019.  In 2020, 
exports of goods from Viet Nam to the Kyrgyz Republic was nearly USD 1.3 million, increased more 
than 180% compared with 2019. However, at present,  the export turnover from Viet Nam to 
Kyrgyzstan accounts for only 0.1% of our export turnover to E AEU's other member countries. 
Similarly,  Kyrgyz stan's exports account for just 0.1% of the total EAEU 's exports to Viet Nam.  Given 
the current level of trade cooperation, it is important to make use of available opportunities for the WT/TPR/M/411 • Kyrgyz Republic  
 
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  development of trade r elations between the two countries and there is still room for deepening 
further cooperation of our countries . 
4.149.   At the multilateral front, we applaud the Kyrgyz Republic in ratifying the WTO Trade 
Facilitation Agreement and the Protocol amending the TRIPS A greement in 2016 and its participation 
in several groups in WTO.  
4.150.   In conclusion, Viet Nam highly appreciates the efforts of the Kyrgyz Republic, including the 
hard work  of the  Permanent  Mission  team headed by H.E. Ambassador Daniiar M ukashev  and wishes 
the Kyrgyz Republic a very successful and productive Trade Policy Review.  
AFGHANISTAN  
4.151.   Afghanistan extends its gratitude to you, Chair, and to the Secretariat for convening this 
meeting and for pr eparing the comprehensive report. I would like to thank our discussant, Excellency 
Ambassador Tatiana M olcean , Permanent Representative of Moldova,  for her insightful remarks, and 
welcome the Kyrgyz Republic 's capital and Geneva -based delegates to the meet ing, led by 
H.E. Mr. Seit Rysalie v, Deputy Minister of Economy and Finance . In particular, we wish to extend 
our congratulations to  the Kyrgyz Republic for its third Trade Policy Review.  
4.152.   We commend the Kyrgyz Republic for their commitment to trade liberalization under the 
multilateral trading system, and for the wide range of policy initiatives aimed at modernizing the 
economy. As a WTO Member, we thank  the Kyrgyz Republic for joining the Trade Facilitation 
Agreement in November 2016, for subsequent Notifications for Category A, B, and C commitments, 
the establishment of National Trade Facilitation Council and the development of plan for the 
implementation of the TFA. It is grea t to see that during the period 2013 -19, the GDP has been 
increasing each year, and the Kyrgyz Republic has been transforming on almost all fronts.  
4.153.   We congratulate the Kyrgyz Republic for the development of the National Strategy for 
Sustainable Development , the National Development Strategy, the Program for the Transition of the 
Kyrgyz Republic to Sustainable Development, the Export Development Program, and the launch of 
the single window information system.  
4.154.   Afghanistan and the Kyrgyz Republic are two frien dly countries. The new chapter of our 
cooperation started with the signature of Memorandum of understanding and cooperation in 
March  2002, subsequent to which we agreed to cooperate in the fields of countering laundering 
money from crime and financing terr orism, disaster management and diplomatic studies. Although 
limited, but the trade between Afghanistan and the Kyrgyz Republic is on the right trajectory and 
opportunities exist to increase the trade volume between the two countries in the near future.  
4.155.   The Government of  the Kyrgyz Republic has been very cooperative with Afghanistan in the 
new era for which we are thankful. Considering our landlocked  countries, Afghanistan is interested 
in close cooperation with the Kyrgyz Republic to learn from their experi ence on the ways to tackle 
transit challenges and the implementation of the TFA.   
KAZAKHSTAN  
4.156.   Kazakhstan warmly welcomes the delegation of Kyrgyzstan led by  Seit R ysaliev , Deputy 
Minister of Economy and Finance of the Kyrgyz Republic.  We express our gratitude to the 
Government of Kyrgyzstan for its informative report and statement. We would also like to express 
our appreciation to Ambassador Mr. Daniiar M ukashev  and his team in Geneva. We also thank 
Ambassador Mrs. Tatiana M olcean  (Moldova)  for her insightful comments as a discussant and the 
WTO Secretariat for its comprehensive report.  
4.157.   The Kyrgyz Republic is the strategic partner of Kazakhstan, and our countries share 
long-standing ties rooted in history.  
4.158.   We welcome the ongoing reforms  initiated by the Kyrgyz Republic in accordance with the 
Program for the Transition of Kyrgyz Republic to Sustainable Development, aimed at optimizing tax 
administration, adopting tax incentives, providing state support to exporters, creating quality 
infrastructure for industrial products, and reducing trade barriers.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  4.159.   We also note that, in order to increase investment attractiveness and improve the country's 
business environment, the Government of Kyrgyzstan has launched the Program for the 
Development of t he Private Sector in the Kyrgyz Republic for 2015 -2017 aimed at simplifying 
regulation in the customs and trade spheres; optimizing tax administration; reforming labour 
legislation reducing unnecessary government interference in business; streamlining the product 
safety control system and implementing horizontal reforms.  
4.160.   We are also pleased to observe that during the review period, the Kyrgyz Republic has 
embarked on its single window application, known as the Single Window for Foreign Trade 
Information Sys tem or the Tulpar System, which have drastically reduced the number of required 
documents for customs transactions.  
4.161.   In 2015, the Kyrgyz Republic joined the Treaty on the Eurasian Economic Union, becoming 
the full -fledged member of the EAEU. The bilateral t otal trade turnover in 2020 amounted to 
USD 796,2  million, increasing by 19 % compared to 2016. Kazakhstan ranks first as Kyrgyzstan's 
largest export destination among the CIS countries. Aside from trade, our investment in Kyrgyzstan 
reached a cumulative to tal of USD 46 million by the end of 2019, making us its second -largest source 
of foreign investment in the CIS region.  
4.162.   Moreover, on 2 April 2021, the Prime Ministers of Kazakhstan and Kyrgyzstan discussed the 
prospects for creating a joint cross-border Trade Centr e "Alatau," which will lead to the opening of 
joint industrial enterprises, creation of permanent jobs, improvement of the social and economic 
condition of the border regions of the two countries, as well as the growth of mutual tra de. 
4.163.   From the multilateral trading system perspective , positive developments are observed since 
the previous Review, highlighted in the reports from the Secretariat and the Government of 
Kyrgyzstan. These measures include ratification of the WTO Agreement o n Trade Facilitation,  
acceptance of the Protocol amending the TRIPS Agreement , and active participation of Kyrgyzstan 
in joining the Agreement on Government Procurement.  
4.164.   We look forward to the continued strengthening of our economic engagements in both the  
WTO multilateral sphere and on the bilateral front.  
4.165.   In conclusion, Kazakhstan congratulates the delegation of Kyrgyzstan and the Secretariat 
for the hard work and efforts that went into preparing for this TPR.  
4.166.   We wish the delegation of Kyrgyzstan every success in their third Trade Policy Review.   
  WT/TPR/M/411 • Kyrgyz Republic  
 
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  5  REPLIES BY THE REPRESENTATIVE OF THE KYRGYZ REPUBLIC AND ADDITIONAL 
COMMENTS  
5.1.  We would like to express our sincere gratitude for all the comments to the Chairperson, 
H.E. Ambassador At haliah Lesiba Molokomme, the discussant – the Permanent Representative of 
Moldova, H .E. Ambassador Tatiana Molcean, and the representatives of 20 WTO Members who took 
the floor during the first session of the TPR of the Kyrgyz Republic. We would also like to thank the 
WTO Members for their positive feedbacks on the efforts and achievements o f the Kyrgyz Republic 
in socio economic  development in recent years, as well as for the recognition of our contribution into 
the multilateral work of the WTO.  
5.2.  Taking into account the comments received, we would like to present a more clearly and 
comprehensi ve answer, more detailed information on the main group of questions.  
5.3.  The Kyrgyz delegation notes that the key goal of economic policy  is to ensure positive economic 
growth in all sectors of the country's economy. For this purpose, the Government of the Kyr gyz 
Republic intends to implement the National Development Strategy of the Kyrgyz Republic for 
2018-2040, which is aimed at ensuring macroeconomic stability; creating conditions for the growth 
of business activity and investment attractiveness of the main sectors of the economy; realization 
of foreign trade potential; development of foreign trade cooperation; resource saving and energy 
efficiency improvement; regional development and digitalization of the national economy. Particular 
attention was focused o n the development of the mining industry, energy, tourism, agriculture, 
transport, the financial sector, as well as the sphere of business based on new and "green" 
technologies.  
5.4.  As for the investment climate  in the Kyrgyz Republic, and also about the conce rns of some 
countries about the investment climate in the country, I would like to reassure the WTO Member 
countries that the investment legislation of the Kyrgyz Republic meets all WTO rules and regulations, 
and is one of the most liberal in terms of prov iding fundamental rights and freedoms for a foreign 
investor. Investment legislation provides fundamental conditions and guarantees for foreign 
investors, such as the national regime of economic activity, equal investment rights for both local 
and foreign investors regardless of the country of origin of investments, guarantees for the export 
or repatriation of investments and property, as well as protection against expropriation of 
investments, and compensation for losses to investors, if necessary. In addi tion, foreign investors 
have complete freedom of monetary transactions and economic independence, as well as a number 
of other guarantees and freedoms for a foreign investor.  
5.5.  Regarding the issues related to the protection of investor 's property, I would like to emphasize 
the following. As you know, the new Constitution of the Kyrgyz Republic came into force on 5 May 
this year. In accordance with article 17 of the Constitution of the Kyrgyz Republic, the State 
guarantees the protection of investments and subjects of investment activity in accordance with the 
procedure determined by national legislation. The President of the Kyrgyz Republic acts as the 
guarantor of the Constitution. It should be noted that the President of the Kyrgyz Repu blic, according 
to the new Constitution, heads the executive branch  of power . 
5.6.  In the structure of the Cabinet of Ministers of the Kyrgyz Republic, a new Ministry for the 
Promotion and Protection of Investments of the Kyrgyz Republic has been established, w hich will 
pay special attention to the issue of ensuring the security of the activities of investment facilities 
and investor 's property based on  the national legislation of the Kyrgyz Republic.  
5.7.  On 9 April 2021, the President of the Kyrgyz Republic signed a Decree on the inventory of the 
adopted concepts, strategies, programs and laws of the Kyrgyz Republic for compliance with the 
new Constitution, the principles of social justice and partnership, expediency and efficiency, 
sufficiency of regulating the sub ject, elimination of internal contradictions, conflicts and gaps in law.  
As part of the inventory, the existing laws "On Investments in the Kyrgyz Republic" and "On 
Public -Private Partnership" are subject to revision. The revised legislation will have norm s defining 
the responsibility of the executive authorities for ensuring equal legal treatment for investors and 
will stipulate measures for guarantees and protection, benefits, preferences for attracted 
investments in the economy of the Kyrgyz Republic.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  5.8.  With regards to the tax ation system of  the Kyrgyz Republic, it should be noted that the 
Kyrgyz  Republic has a very liberal tax regime with the lowest tax rates and the fewest types of taxes 
in comparison with many WTO Member countries. The fiscal policy of the Kyrgyz Republic is aimed 
at determining the permissible level of the optimal tax burden, t hereby ensuring the maximum 
profitable effect from taxation, while respecting the interests of the state and taxpayers. In 2015 
and 2016, a number of new amendments were made to the Tax Code in connection with the 
accession of Kyrgyz Republic to the Eurasi an Economic Union. The tax service managed to realize 
the goals set in the document, having achieved an increase in the efficiency of the State Tax Service, 
the development of customer focus, and an increase in the potential for tax collection.  
5.9.  Moreover, a t present  time, work is underway to develop a new edition of the Tax Code of the 
Kyrgyz Republic and an interdepartmental working group has been established . The main goal – is 
to adapt the tax legislation of Kyrgyz Republic to modern economic conditions a nd create favo urable 
conditions for the activities of taxpayers. It is planned to simplify the mechanism for reimbursing 
and refunding excess VAT, introduce a service approach to servicing taxpayers and develop 
alternative approaches to resolving tax dispu tes. 
5.10.   Also, special attention of the WTO Member countries referred to  the issues of improving the 
business environment and combating the informal economy of the country. We note that these two 
issues are closely interconnected with each other. Currently, th e Government is taking efforts to 
carry out reforms in the field of deregulation of the economy and reduce the shadow part by 
digitalizing business processes, introducing electronic and automated management systems in terms 
of tax and customs, as well as o ther administrative procedures that local and foreign businesses 
have to face. The new tax legislation and these measures should have the effect of facilitating 
administrative procedures for entrepreneurs and, as a result, reducing the share of the informa l 
economy.  
5.11.   As for the provision of concessional lending  in priority sectors of the economy, the Government 
continues to provide state support to business entities for the development of crop production using 
water -saving and energy -saving technologies, as well as for the processing of agricultural products 
by providing affordable and concessional credit funds. It is necessary to assure that state support 
meets all WTO norms and rules, including the norms of the Agreement on Agriculture, and the 
amount of su pport is within the designated "de-minimis " thresholds.  
5.12.   The Kyrgyz Republic, as a country with a relatively small volume of economy and without 
access to the sea, seeks to maximize the privileges of Membership in the WTO, and in this regard, 
aims to increa se its export potential, since the country has an extreme trade imbalance, where 
exports account for only 30% of the country's turnover. In this regard, as noted in the Government's 
report, in order to increase the export potential, an  Export Promotion Strategy was developed, which 
was adopted by the Government and attracted the attention of many WTO Member countries. The 
program includes measures to stimulate the export of domestic products, such as the development 
of a national qualit y infrastructure, raising funds for the leasing of technological equipment, and 
other tools to increase the export potential of the Kyrgyz Republic.  
5.13.   Regarding issues related to the field of intellectual property in the Kyrgyz Republic, we inform 
the WTO Members that the Government of the Kyrgyz Republic has  approved the State Program for 
the Development of Intellectual Property for 2017 -2021. This strategy forms and determines further 
directions for the development of the of intellectual property area: info rmation and communication 
technologies, harmonization and liberalization of the legislation of the Kyrgyz Republic, the 
development of infrastructure for the creation of intellectual property, the development of 
public-private partnership in the field of intellectual property and other priority areas of work. To 
track the progress of the implementation of the State Program, a monitoring and evaluation system 
has been developed containing specific measurable indicators. Public organizations and independent 
institutions will be involved in the monitoring process, if necessary.  
5.14.   In addition, the attention of most WTO Member countries was also paid to priority sectors for 
the Kyrgyz Republic, such as mining, energy and the development of transport infrastructure.  
5.15.   The mining sector  is one of the economy -forming sectors of the country. Further work of the 
Government in the development of the legislative and institutional environment will be aimed at 
increasing the productivity of the mining industry, creating a tran sparent system of legal regulation, WT/TPR/M/411 • Kyrgyz Republic  
 
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  unlocking its potential, ensuring the safety of the population and minimizing the burden on the 
environment, as well as creating a favourable  investment climate and expanding opportunities for 
further economic growth of the Kyrgyz Republic . 
5.16.   Hydropower, and  the entire energy sector of  the Kyrgyz Republic, is one of the main directions 
of development of the state. In the energy sector, the Government aims to provide the country's 
economy with electricity, improve the access  of citizens and businesses to reliable and modern 
energy supply, and develop export potential based on energy efficient and low -carbon production 
and consumption of energy . 
5.17.   With regard to the road transport sector, the  Government will focus on developing the 
country's transport potential, where measures will focus on the construction and expansion of the 
internal network of highways and international transport corridors. In the field of transport 
communications, priority will be given to the construction o f road transport hubs that will ensure 
end-to-end international transit of goods. Under special control will be the development of the 
project related to the construction of a section of the transnational railway through the territory of 
the Kyrgyz Republi c from China to Uzbekistan.  
5.18.   The Kyrgyz Republic received a number of questions from the WTO Member countries 
regarding free trade agreements and integration processes in which the Kyrgyz Republic is involved, 
in particular, the Kyrgyz Republic's accession to the Eurasian Economic Union  in 2015. Questions 
mainly related to the areas of customs valuation, protective measures, SPS and TBT standards, tariff 
regulation, FTA between the EAEU and third countries and other areas. We inform you that all aspects 
of the Kyrgyz Republic's accession  to the EAEU were presented and discussed in detail during the 
meeting of the Committee on Regional Trade Agreements of the WTO in 2018, as well as at the 
meeting of the committee in 2019, at which the EAEU member states considered an FTA between 
the EAEU and Viet  Nam. We have provided answers to the questions that we managed to prepare 
and will send answers to all remaining questions as soon as possible. We are ready to provide any 
possible information of interest and answers to additional questions from t he EAEU member states, 
if any.  
5.19.   In addition, the WTO Member countries in their questions would like to know the state of 
affairs in some negotiation areas at the WTO platform. In this regard, I would like to briefly note the 
following . 
5.20.   Regarding the negotia tions of the Kyrgyz Republic on accession to the WTO Public 
Procurement Agreement,  we note that in 2016 the process of accession of the Kyrgyz Republic to 
the GPA was resumed, and currently internal work is underway to revise the current legislation on 
public procurement and a new version of the offer of the Kyrgyz Republic is being prepared in 
accordance with most of the wishes of the countries participating in the Agreement.  
5.21.   The second track concerns compensatory negotiations on  the revision of tariff obl igations in 
connection with the accession of the Kyrgyz Republic to the EAEU, I would like to note that the 
Kyrgyz Republic continues this process in cooperation with stakeholders on technical clarifications 
and analysis of relevant data based on the initi al statements submitted by the member countries. 
With one of the countries, we already have progress in providing compensation for NAMA goods, 
and negotiations on agricultural products are at an active stage of technical data exchange with 
them. It should also be noted here that the compensation negotiations themselves are further 
complicated by the fact that the rest of the EAEU member states are also involved in this process. 
In addition, the sharp deterioration in the situation with the COVID -19 pandemic  in 2020 caused 
delayed negotiations.  
5.22.   I would also like to thank the Member countries for encouraging the Kyrgyz Republic to join 
some  of the  important WTO initiatives on e -commerce and domestic regulation of services. I would 
like to inform you that the K yrgyz Republic is closely following these processes and will consider 
taking into account country specifics and national interests.  
5.23.   The WTO Member countries showed interest in the activities of some financial institutions, 
such as the Guarantee Fund of the  Kyrgyz Republic.  This institution is aimed at solving one of the 
important problems of ensuring access to credit resources. The Fund's activities are aimed at WT/TPR/M/411 • Kyrgyz Republic  
 
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  ensuring access of small and medium -sized enterprises (SMEs) to financial resources by financing  
their projects in full with insufficient collateral.  
5.24.   Particular attention was paid to the issues of the status of women  in international trade. The 
Government of the Kyrgyz Republic has always attached great importance to the issue of ensuring 
gender equa lity. According to the statistics agency, in the Kyrgyz Republic, women dominate the 
informal labo ur market, certain service and trade sectors, and self -employment based on 
microcredit. Currently, a draft Government Program for the Development of Women's 
Entrepreneurship for 2021 -2025 has been developed, after the adoption of which we expect the 
improvement of economic rights and opportunities for women.  
5.25.   Regarding the questions received regarding bans on the export of certain types of goods, the 
Kyrgyz Repu blic reports that the global deterioration of the economic situation caused by the spread 
of COVID -19 forced the Kyrgyz Republic to respond to the economic situation by introducing export 
restrictions on important goods. Currently, there is an increasing d ynamic of the number  of 
COVID -19 diseases in the Kyrgyz Republic, and the Kyrgyz Republic is opposing the third wave. We 
hope that the situation will improve in such a way as not to introduce or prolong any additional 
measures to restrict exports, and to a djust the existing measures against the background of the 
improvement in the situation with COVID -19. 
5.26.   Following a slowdown in economic growth in the light of the pandemic, thanks to the policy 
measures taken by the Government of the Kyrgyz Republic and fol lowing the recovery of the 
economies of the main trading partners and the revival of trade, the Kyrgyz Republic predicts a 
gradual economic recovery and economic growth after 2023.  
5.27.   Regarding the detailed questions that the Kyrgyz Republic received in writi ng, and to which 
we did not have time to provide answers by this deadline, we will send answers to Members as soon 
as possible  in the near future  
5.28.   In conclusion, I would like to note that the Kyrgyz Republic will continue to support the WTO 
multilateral tra ding system as a guarantor of compliance with multilateral trade rules, especially in 
such difficult times that countries are experiencing today, contributing to the further liberalization 
of open, transparent trade based on rules , and strictly comply with  international obligations under 
the WTO and free trade agreements, of which the Kyrgyz Republic is a Member.  
5.29.   We will also continue to work closely with Member countries to develop the multilateral WTO 
system, as well as to implement the planned WTO reforms in the near future. Thank you for your 
active participation in our third Kyrgyz Republic Trade Policy Review.  
DISCUSSANT  
5.30.   Let me, first of all, congratulate Mr . Seit R ysaliev , Deputy Minister of Economy and Finance 
and his delegation for the work done during this Review. I commend them for their work in 
responding to more than 158 questions from 11 Members and for the specific answers that they 
have provided to the areas of main concerns.  
5.31.   As we are close to the end of our discussions , I would like to make a few comments based on 
Member 's statements and questions over this Review.  
5.32.   Firstly , I am pleased that we had a range of diverse exchanges/debate s within this TPR, and 
I would like to thank all the delegations that intervened with constructive statements.  
5.33.   It is clear that as the Kyrgyz Republic is increasingly integrating into the regional and global 
economy, it becomes an important trading partner  for many delegations, particularly for its 
neighbo uring countries.  
5.34.   Based on interventions from a number of Members who took the floor , we can conclude that 
the country trade and investment regimes have been taken very seriously by Members. It also shows 
the degree to which the Kyrgyz Republic contributes to the multilateral trading system within the 
WTO.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  5.35.   Some Members commended the Kyrgyz Republic for accepting TRIPS amendment and for 
joining TFA, as well as welcomed some advances in government procurement during the review 
period. The Kyrgyz delegation was also appreciated for its participation in some of the JS Is and was 
also encouraged to take part in all of the Joint Initiatives which constitute an important and 
forward -looking agenda for international trade and for this Organization.  
5.36.   Secondly, Members commended the Kyrgyz Republic 's economic growth (with seve ral 
consecutive years of growth) during the review period, before the recent C OVID -19 pandemic 
impact. Also, Kyrgyzstan 's consistent effort to improve its business environment by fighting informal 
economy was highly valued. Members welcomed the streamlinin g of the Kyrgyz Republic 's customs 
procedures and the implementation of trade facilitation measures, which could contribute to a 
substantial reduction of time and costs at the border and document compliances for exports and 
imports.  
5.37.   In addition, many of th e delegations welcomed the introduction of the national legislation 
focused to reduce complexity in the indirect tax system.  It may be noted that the taxation system 
of the country seems to be a liberal one, with quite low level of tax burden for both larg e enterprises 
and SMEs. On investment, Members commended Kyrgyzstan 's continuing effort to liberalize its 
investment policies. The Kyrgyz Republic 's investment legislation is assessed to be quite liberal as 
well, going in line with the WTO commitments and providing quite a large range of guarantees and 
freedoms for foreign investors which are stipulated in the major Law on Investments of the country . 
Another progress on investment facilitation regime has been reflected in the development of 
Kyrgyzstan 's ranking in the World Bank 's Doing Business Reports during the review period.  
5.38.   At the same time, it shall be noted that l imited diversification of domestic production sectors 
largely contributes to the vulnerability of the economy of the country. As some of the countries 
expressed their opinion — a diversified economy will allow the Kyrgyz Republic to respond to current 
global economic challenges in a more effective and efficient way. A diversified economy  based on a 
wide range of sectors plays a key role in ensuring sustainability and reducing the country 's economic 
volatility. Therefore, it is highly recommendable to  the Kyrgyz Government to intensify their efforts 
as to diversify countries exports which currently are highly depend on a limited  exported good.  
5.39.   Thirdly, concerns raised by Members on specific issues indicate room for further improvement 
of trade polices to ampl ify attractiveness as a trade and investment destination, as well as to comply 
with its commitments undertaken within this Organization.  
5.40.   We shall note that the main change in Kyrgyzstan 's trade regime, namely accession to the 
Eurasian Economic Union (EAEU) in 2015, led to major changes in the Kyrgyz trade and economic 
policies in the period under review, which led to a series of comments and questions from Members.  
5.41.   For example, Members encouraged the finalization in a constructive and prompt manner of 
the co mpensation negotiations initiated following Kyrgyz EAUE membership, particularly 
encouraging the Kyrgyz delegation to engage in a more meaningful and constructive tariff 
compensation, especially for agricultural imports; improve tariff structure and return  the MFN 
duty-free tariff lines; further promote foreign investment in different sectors; remove complexity in 
import licensing procedures and make it more transparent; updating and keeping compliance with 
WTO commitments on subsidies and export incentives, import licensing and TBT notifications, 
customs valuations processes, as well as exercise more caution and due restraint when imposing 
trade remedies measures and adoption of IP related regulations.  
5.42.   Among other subjects, Members encouraged or q uestioned:  
• On informal economy: the necessity to orient efforts to make the formal economy more 
attractive for channelling remittances, as well as the need for new policies undertaken to 
reduce the informal economy.  
• On trade and gender: several Members hig hlighted the need to encourage engagement of 
women participation  in the economy, entrepreneurship of women, support to 
women -owned businesses aiming to export. Also in terms of trade policy formulation, 
seems to be a necessity in focusing on assistance to women owned businesses and the 
growth of SMEs.  WT/TPR/M/411 • Kyrgyz Republic  
 
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  • Speaking about business regime: Members encouraged policies and measures to 
strengthen governance, private property and investor rights, moratorium on business 
inspections and enforcement of ILO requirements o n worker health and safety. As well as 
on shifting the tax system to a stimulating function.  
• On customs procedures and trade facilitation: the implementation of a "single window", 
electronic processing and clearance of imports. Also, Members questioned the  current 
customs valuation practices, highlighting the necessity to keep the hierarchy of calculation 
methods according to WTO provisions; same goes with rejection or amendment of declared 
values, and the use of Reserve Value Method. An issue being the ina bility to provide 
advance rulings.  
• On export incentives: Members questioned the compliance of specific measures with the 
WTO Agreement on Subsidies and Countervailing Measures.  
• As related to Export promotion programmes: some Members questioned the activiti es 
under the Export Development Program 2019 -22 and expected outcomes and the 
treatment accorded to the exports of foreign invested enterprises within the EAEU.  
5.43.   On a final note, I am pleased to mention that Kyrgyzstan 's participation at the WTO generally 
has been appreciated and commended by Members. In this context, Members highlighted Kyrgyz 
delegations ' contributions in various discussions and negotiations. Members also acknowledged 
Kyrgyzstan 's endeavo urs within this Organization to support t he interests of landlocked developing 
countries and Article XII members group, some of them highlighting the interest in close cooperation 
with the Kyrgyz Republic to learn from their experience on the ways to tackle some of the common 
challenges and to in crease trade flows.  
5.44.   In closing, let me, once again, thank you, Madam Chair, for inviting me to be a discussant in 
this third TPR of the Kyrgyz Republic. It has been a n honour and privilege for me to contribute to 
this Review. I wish to congratulate the Kyr gyz delegation once again for their participation and wish 
them every success  both in terms of trade and economy  but also to their well -being . I thank you.  
EUROPEAN  UNION  
5.45.   On behalf of the E uropean Union, let me first thank the Kyrgyz Republic for the compr ehensive 
overview presented on Tuesday and this morning of the main trade and economic developments 
that occurred during the review period.  
5.46.   The EU welcomes the useful insights that this Review has provided into the Kyrgyz Republic 's 
ongoing and planned pol icies and initiatives to enhance its integration into the multilateral trading 
system, strengthen its institutional and economic framework, and improve its resilience in the rapidly 
evolving global and regional contexts.  
5.47.   Above all, the EU appreciates the good cooperation with the Kyrgyz Republic under the EU 
GSP Plus scheme, as well as under the Enhanced Partnership and Cooperation Agreement (EPCA), 
which was concluded in 2019. The EPCA has reinforced the Kyrgyz -EU political cooperation and 
economic and bi lateral relations  and has also  contributed to the Kyrgyz Republic 's reforms.  
5.48.   The EU hopes that the comments provided by  us and by the rest of  the WTO Membership will 
support the Kyrgyz Republic in further reviewing and reforming its trade policies. We hope that the 
Kyrgyz Republic  will address  some of  the challenges and the shortcomings highlighted by the 
delegations.  
5.49.   In this respect, the EU would like t o underline the importance of further improving the 
investment environment. We again encourage the Kyrgyz Republic to embark on a green and 
inclusive post -pandemic economic recovery.  
5.50.   As mentioned during the first day of this Review , the EU is concerned about certain aspects 
of the Eurasian Economic Union 's (EAEU) internal market. We have noted that certain EAEU technical 
regulations – such as on the safety of alcoholic products – are creating difficulties for EU exporters.  WT/TPR/M/411 • Kyrgyz Republic  
 
- 33 - 
 
  5.51.   Finally, we have noted that the considerable number of EU (and other Members ') questions 
remain partially  or completely unanswered by the Kyrgyz Republic . Together with the Government 
and Secretariat report, the questions and replies are an essential part of the Trade Policy Review 
proce ss. While we understand that the time for the answer s was rather short for such a large number 
of questions, we are looking forward to receiving more detailed answers within the prescribed 
timeframe, and we take note of the statement made by the Head of de legation today . For the future, 
we would encourage the Kyrgyz Republic to consider using the alternative timelines for its next TPR, 
allowing for more time to reply to the questions , as well as for providing the other Members 
possibility to review the repl ies in advance of the meeting.  
5.52.   In conclusion, the EU would like to thank the delegation of the Kyrgyz Republic for undergoing 
this important transparency exercise in a virtual format and in spite of challenging circumstances, 
thus demonstrating the Kyrgyz Republic 's commitment to the WTO. We are confident that our good 
cooperation will continue and will contribute to a sustainable socioeconomic recovery from the 
pandemic and to economic growth.   
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  6  CONCLUDING REMARKS BY THE CHAIRPERSON  
6.1.  This third Trade Polic y Review of the Kyrgyz Republic has provided an excellent opportunity for 
the Trade Policy Review Body to examine economic, trade, and investment developments that have 
occurred since the previous Review in 2013. I would like to thank the delegation of the  Kyrgyz 
Republic, headed by H.E. Mr . Seit Rysaliev, Deputy Minister of Economy and Finance, for its 
participation in this Review. I also wish to thank our discussant H.E. Ambassador Mrs . Tatiana 
Molcean for her insightful remarks, the 11 Members who submitted advance written questions, and 
the 20 delegations that took the floor during this meeting.  
6.2.  Members appreciated several positive aspects of the economic performance of the Kyrgyz 
Republic since its previous Review, including the steady economic growth achieved during the period 
2014-19, the significant reduction of poverty, and the growth of the services sector. Members noted 
the severe impact of the COVID -19 pandemic and commended the  Kyrgyz Republic for its efforts to 
address the negative effects.  
6.3.  As Members acknowledged, the Kyrgyz Republic faces special challenges because its location 
limits access to global markets and it is heavily reliant on the mining sector and remittances. Sev eral 
Members pointed out that the country's external debt situation and its dependence on a single sector, 
necessitated a comprehensive strategy to diversify export markets and attract investment to new 
sectors. Members appreciated recent policy initiative s to develop a more modern, sustainable, and 
diversified economy, particularly the national development strategies that have been adopted since 
2013 and the digital transformation strategy.  
6.4.  Members welcomed the Kyrgyz Republic's active engagement in the WT O and support of the 
multilateral trading system. They acknowledged its acceptance, in 2016, of the amendment to the 
TRIPS Agreement and of the Trade Facilitation Agreement. The Kyrgyz Republic participates in the 
Joint Statement Initiatives (JSI) on inves tment facilitation for development and on micro, small and 
medium -sized enterprises. Members encouraged the Kyrgyz Republic to consider joining the JSIs on 
e-commerce and domestic regulation in services and the Informal Working Group on Trade and 
Gender. T hey also looked forward to the Kyrgyz Republic's accession to the Government 
Procurement Agreement.  
6.5.  The Kyrgyz Republic's accession to the Eurasian Economic Union (EAEU) in 2015 was widely 
regarded by Members as the most significant development that has oc curred in its trade policy since 
the previous Review. This accession resulted in a comprehensive transformation of the framework 
for the conduct of trade policy in the Kyrgyz Republic. Members highlighted the positive effects of 
this accession on the trade  and investment relations with its EAEU partners. Additionally, Members 
commented on the far -reaching changes that resulted from this accession in specific areas, such as 
competition law.  
6.6.  At the same time, certain aspects of the EAEU accession have negativ ely impacted market 
access for third countries, particularly the increase in the Kyrgyz Republic's MFN tariffs and the 
substantial decrease in the number of duty -free tariff lines. Some Members expressed concern 
regarding changes on customs valuation, prot ection of intellectual property rights, and technical 
regulations, which in some areas, for example a recent technical regulation on the safety of alcoholic 
products, appeared to deviate from international standards and WTO rules. The issue of customs 
clearance at the border between Kyrgyz Republic and Kazakhstan was also raised.  
6.7.  The Kyrgyz Republic's treatment of foreign investment received much attention in this Review. 
Considering recent developments, the need for a more stable, transparent, and predicta ble climate 
for foreign investment was emphasized. Members noted that while the investment regime is 
relatively open, the general business environment is not conducive to investment and requires more 
fundamental reforms, including reforms to improve the qu ality of governance. This is a critical aspect 
given the important role of foreign direct investment in the economy. Many Members discussed the 
potential for further development of their bilateral trade and investment relationships with the 
Kyrgyz Republic . 
6.8.  Members commended the Kyrgyz Republic for taking steps to achieve a more open trade 
regime, such as the development of the Single Window Information system, amendments to 
legislation on intellectual property rights protection and on government procuremen t, and WT/TPR/M/411 • Kyrgyz Republic  
 
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  liberalization of visa requirements for tourists. The Kyrgyz Republic also adopted measures aimed 
at reinforcing its anti -corruption legislation, strengthening the integrity of the judicial and law 
enforcement system, and enhancing the transparency and efficiency of public administration.  
6.9.  Members raised questions and/or concerns regarding the application of import and export 
prohibitions, customs valuation, use of minimum prices, application of indirect taxes, export 
incentive schemes, privatization and reform of state -owned enterprises. Notifications from the 
Kyrgyz Republic are overdue in several areas, including import licensing, agriculture (domestic 
support and export support), subsidies, and food safety measures.  
6.10.   Prior to th is meeting, the Kyrgy z Republic received 158 advance written questions and 
answered many of them. Its responses were much appreciated and its replies to any outstanding 
and follow -up questions are expected in a month, at which time the third Trade Policy Review of the 
Kyrgyz R epublic will successfully conclude. I trust that the Kyrgyz authorities will consider the many 
constructive comments and specific issues raised in this Review.  
__________