Since January 2016, the Kyrgyz Republic benefits from preferential access to the EU market as a beneficiary of the GSP+ which requires the ratification of 27 core international conventions on human and labour rights, environmental protection, and good governance. Kyrgyzstan is a lower-middle income economy with a per-capita income of $1,970 in 2023. Total EU imports from the Kyrgyz Republic amounted to about €116 million in 2023. As most of the country's exports enter the EU duty-free under the EU's normal tariff regime, the scope for preferential imports under the GSP+ is limited - these stood at €5.2 million in 2023. Although the country faces a number of structural challenges, such as a high dependence on remittances and a large informal sector, GDP growth has been high in recent years, reaching 6.2% in 2023.
The GSP+ is a special incentive arrangement for Sustainable Development and Good Governance that supports vulnerable developing countries. Next to fulfilling the eligibility requirements of the Standard GSP, GSP+ countries are required to ratify 27 international conventions on human rights, labour rights, environmental protection and climate change, and good governance. In order to ensure effective implementation of the conventions as well as compliance with reporting obligations, the EU engages in monitoring activities with the GSP+ countries. GSP+ beneficiaries can benefit from complete duty suspensions for products across approximately 66% of all EU tariff lines.
Population
Government
GDP Growth
Inflation
GDP
The Kyrgyz Republic is a landlocked economy, interspersed with mountains which set the basis for the country's high potential for hydropower generation. Kyrgyzstan also has a number of natural resources like gold, rare earth metals, coal, oil, and natural gas.
The main export products of the Kyrgyz Republic are gold and other precious-metal ores, and petroleum oils. Important agricultural products for export are dried kidney beans, nuts and fruit, and raw cotton. Some manufactures, including machinery, plastic packaging materials, textiles, are also exported.
A large part of Kyrgyzstan's trade is accounted for by regional trading partners - China, Russia, and Kazakhstan in particular. Among export markets, Switzerland ranked first in 2023 (39% of total exports, primarily gold).
Services (51% in 2023) contributes the largest share to the Kyrgyz GDP, followed by the industry sector (23%), which is dominated by mineral extraction. Other industries include small machinery, textiles, and food processing.
About 5% of the EU's total imports from the Kyrgyz Republic make use of preferences granted under the GSP+. This is because most of the country's exports enter the EU duty-free under the EU's normal tariff regime. The GSP preference utilisation rate in 2023 was 45%.
Total trade with the Kyrgyz Republic amounted to €921 million in 2023. With a share of approximately 6%, the EU is Kyrgyzstan's fifth most important trading partner, but its third most important supplier.
Share of the Kyrgyz Republic’s exports to the EU in 2023 that were eligible for tariff reductions under the GSP+.
Kyrgyzstan's preference utilisation rate in 2023.
Share of zero-duty imports from Kyrgyzstan. Most imports are duty-free under normal EU tariffs.
Most EU imports from the Kyrgyz Republic are duty free under the EU's normal tariffs, and therefore GSP+-eligible imports account for a relatively small share. The value of eligible imports was highly volatile over the years, but imports in 2022 and 2023 were among the highest since 2014. In most of the recent years, the preference utilisation rate of the Kyrgyz Republic was above 60%, having increased substantially following the country's transition to GSP+ status in January 2016. However, in 2023, the utilisation rate dropped to 45%. Use of the preferences varies considerably across product groups: among the most important ones, it is particularly high for fruit and vegetables, food preparations and footwear, whereas some other sections, such as edible oils. wood and wood products, ceramics and glass, and machinery, hardly use the preferences.
Preferential imports under the GSP+ remain concentrated on fruit and vegetables, which accounted for 76% of all preferential imports from the Kyrgyz Republic in 2023. The composition of preferential imports has changed substantially over time. For example, tobacco imports decreased by more than 90% from 2021 to 2023, whereas fruit and vegetables increased by more than 150% over the same period. With the exception of the latter, preference utilisation of all of the main eligible product groups is very limited.
The Kyrgyz Republic has benefitted from GSP+ since 2016. In this time, the country has gone through several periods of change. Nonetheless, it has maintained steady engagement in GSP+ monitoring. There is untapped potential to maximise the economic benefits of the scheme. The 2020-2022 reporting period was also marked by the effect of the COVID-19 pandemic, significant political flux, and a worrying trend of pressure on civic freedoms and human rights and rule of law, amid large-scale legislative changes.
Civil society space and media freedom
Torture prevention and criminal justice reform
Gender-based violence, violence against children, and discrimination against minorities
Labour rights
Protection from and prevention of child labour and preventing and combating trafficking in persons
Environmental conventions implementation
Anti-Corruption
Drug control strategy
For the reporting period 2024-2025, the EU has focussed its monitoring activities on eight priority areas, primarly on civic freedoms, human rights and rule of law.
Access all info about EU-Kyrgyzstan relations on the International Partnerships website.