Kyrgyz Republic Economic Report, October 2013 : Growth is Back, Headwinds Persist
This regular economic report records the economic activities of Kyrgyz Republic for the year 2013. The growth performance of the Kyrgyz Republic has been encouraging and largely in line with our forecasts from the Spring 2013 update. Real Gross dom...
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| Format: | Report |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2017
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/636731486548668310/Kyrgyz-Republic-growth-is-back-headwinds-persist http://hdl.handle.net/10986/26059 |
| Summary: | This regular economic report records the
economic activities of Kyrgyz Republic for the year 2013.
The growth performance of the Kyrgyz Republic has been
encouraging and largely in line with our forecasts from the
Spring 2013 update. Real Gross domestic product (GDP)
expanded by 8 percent in the first eight months of 2013
(year-on-year) driven by a recovery in gold production at
the Kumtor mine. The non-gold economy also performed well,
as strong private transfers from abroad and higher credit to
the private sector fueled private consumption and
investment. At the same time, the contribution of the public
sector was more limited with government spending kept under
control. Following a slow start, officially recorded exports
have started to recover. Macroeconomic policies have been
supportive of stability and stronger economic activity. The
baseline scenario for 2014 remains optimistic, though
headwinds have been gaining strength. The challenge to
sustain high economic growth rates in the medium term is
considerable. Monetary policy needs to be cautious to
prevent the build-up of risks in the financial sector and
limit inflationary pressures. Second, creation of a vibrant
and competitive private sector will require significant
upgrading of the country’s institutional, physical and human
capital. A business environment characterized by efficient
institutions, reliable infrastructure and highly-skilled
labor will help realize the country’s growth potential and
reduce poverty. |
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