Kyrgyz companies will be able to use the EEC mechanism, which provides for subsidizing the interest rate on loans for joint industrial initiatives. The information came from the regional forum on industrial development in Bishkek.
Conditions for participation in the EEC mechanism
According to the report, participation in such projects requires enterprises from at least three member states of the union. The contribution of these parties may take the form of supplies of materials, components, equipment, software, technological solutions, engineering services or investments.
Statistics on the mechanism
The interest rate on such loans is subsidized from the EAEU budget, which generally lowers the cost of borrowed financing for projects that meet the established requirements. Financial organizations have already worked under this mechanism, including the Russian-Kyrgyz Development Fund, the Eurasian Development Bank and banks in Kyrgyzstan.
Development areas for Kyrgyzstan
According to Laura Sadykova, deputy director of the Department of Industrial Policy of the Eurasian Economic Commission, the EEC sees three key development areas for Kyrgyzstan. One of them is developing the competencies of existing enterprises, including cooperation between garment enterprises and textile producers.
- Developing the competencies of existing enterprises
- Cooperation between garment enterprises and textile producers
- Industrial projects within the EAEU
As an example of an approved project related to the production of computer system units, enterprises from Kyrgyzstan, Belarus and Russia are taking part.
Context
The interest rate subsidy mechanism for joint industrial projects in the EAEU was launched in 2024. According to the regional forum, eight projects have been approved under this mechanism, including in the railway engineering and computer equipment sectors.
