President: Kyrgyzstan May Clear All External Debt in One Day

Kyrgyz President Sadyr Japarov has announced that the country is capable of repaying its entire external debt in a single day if needed, though it would be economically unwise.

Speaking at the Jogorku Kenesh (parliament), Japarov highlighted the nation’s steady economic growth and a sharp reduction in external debt-from 54 per cent of GDP in 2020 to around 25 per cent today, The Caspian Post reports via Kyrgyz media.

The president emphasized that there is no threat to the economy. “We could repay the external debt in one day, but it would be unprofitable-interest rates would rise, and penalties would apply. By 2035, we will easily settle our loans,” Japarov said.

He also noted that Kyrgyzstan’s gold and foreign currency reserves have surged to over $8.5 billion, up from just $2 billion five years ago. Currently, the country’s total public debt stands at $8.6 billion, including roughly $5.2 billion in external borrowing.