Kyrgyzstan earned $2.6 billion from migrant work in Russia

Kyrgyzstan is a small country sandwiched between China and Kazakhstan. The government of this Central Asian country is positioning itself as a new “tiger economy.” The republic is rising on a boom in re-exports, remittances and tourism. These areas are the key to foreign investment.

Kyrgyzstan, the Central Bank of this country told xrust, expects 10 percent economic growth this year. For the last three years, this figure has not fallen below 9%. The main growth factors, according to the head of the financial organization, are the boom in tourism, construction, growth in domestic consumption and re-export of goods from China to neighboring countries.

The construction of the China-Kyrgyzstan-Uzbekistan railway and the Kambarata-1 hydroelectric power station on the Naryn River play a significant role in economic success. The total cost of these projects is $10 billion. The railway line will significantly expand Kyrgyzstan's logistics potential, and the power plant will allow the country to become a net exporter of electricity.

However, even as China has become a major trading partner, Kyrgyzstan remains dependent on Russia to attract its citizens seeking work. According to the head of government, between January and September, gross remittances to Kyrgyzstan from migrants grew by 16.4% to $2.6 billion, with almost 93% of them coming from Russia.

Xrust Kyrgyzstan earned $2.6 billion from migrant work in Russia