The new procedure for regulating state investments received from external sources is established by resolution No. 725 of October 27, 2026. The regulation introduces uniform rules for the entire cycle of work on such projects, from initial selection and preparation to implementation and subsequent evaluation.

StoriesCabinet tightens rules for state projects financed by external loansSlides: 7
  1. Cabinet tightens rules for state projects financed by external loans
  2. The Cabinet has approved a new procedure for managing state projects financed by external loans. Resolution No. 725 introduces uniform rules from selection to evaluation.
  3. Key changes in control:: Projects from the republican budget with external loans; Mandatory assessment by ministries and agencies; Review by the Cabinet's Fiscal and Investment Policy Council
  4. Strict spending limits have been set for various types of services. This improves transparency and control over external funds.
  5. Spending limits:: Engineering services (infrastructure): 10%; Social sectors (education, healthcare, social protection, public administration): 25%; Operating expenses: 5%
  6. Personal responsibility of officials has been increased. The coordinator must be an employee of the implementing agency no lower than a deputy head.
  7. The Cabinet of Ministers has approved a new regulation tightening the rules for working with state investments financed by external loans and grants. The changes cover all stages of work on such projects, from initiation to monitoring and evaluation.

Main changes in control over state projects

The procedure applies to projects financed from the republican budget with external loans and grants based on international agreements. To ensure control, each project must undergo a sequential assessment by the agencies responsible for budget and economic forecasting. Only after receiving positive conclusions can the project be considered by the Cabinet of Ministers' Fiscal and Investment Policy Council.

Limits and requirements for expenses

  • The cost of engineering consulting services for infrastructure projects must not exceed 10% of the total project cost.
  • For projects in education, healthcare, social protection and public administration, a spending limit of 25% is set.
  • Operating expenses, including project office maintenance, trainings and instruction, must not exceed 5% of the total cost.

Responsibility and project management

Strict requirements have been introduced for the personal responsibility of officials who will be responsible for planning, implementation, monitoring and completion of projects. In addition, the project coordinator must be an employee of the implementing agency no lower than the position of deputy head.

10%Limit for engineering services (infrastructure)
25%Limit for expenses (education, healthcare, social protection, public…
5%Operating expense limit

From the document

The new procedure applies to projects financed from the republican budget with external loans and grants on the basis of international agreements.
Resolution No. 725

The established rules aim to increase transparency and control over the use of funds received from external sources under state investment programs.

Context

Resolution No. 725 of October 27, 2026 is a document regulating the management of state investments. It establishes uniform rules for initiating, selecting, preparing, implementing, monitoring and evaluating projects financed by external loans and grants.

The project coordinator must be an employee of the implementing agency no lower than a deputy head, which increases the level of responsibility for the progress of such projects.

  1. Resolution No. 725
  2. October 27, 2026

These changes apply to all state projects using external financing.

10%Engineering services
25%Social sectors
5%Operating expenses

Overall, the new rules introduce a multi-level control system, from mandatory assessment of project materials to assigning personal responsibility for results.

In brief · TL;DR

  • Cabinet approves new regulation on managing state projects financed by external loans
  • New procedure governs projects from the republican budget with external loans
  • Projects undergo assessment and are reviewed by the Cabinet's Fiscal and Investment Policy Council
  • Spending limits set: up to 10% for engineering, up to 25% for social sectors, up to 5% for operations
  • Personal responsibility of officials for project implementation introduced