NBKR's news


Date: 02.03.2024
Permanent link

The Digital Som Project Group of the National Bank of the Kyrgyz Republic (hereinafter referred to as "the National Bank") announces that, as part of the request for "Functional and Technical Requirements for the Digital Som Prototype," it has received proposals from twelve interested companies for testing the digital som prototype in an experimental mode (Sandbox). These proposals are aimed at exploring central bank digital currencies (CBDCs). 

The companies that have submitted their proposals include: 

1. Axellect; 

2. DCM, Ltd.; 

3. EMTECH, Inc.; 

4. FIS, Inc.; 

5. G+D Filia GmbH; 

6. Knox Networks, Inc.; 

7. MONTRAN; 

8. Nahmii, Ltd.; 

9. R3 Corda Ltd.; 

10. SICPA/Nabatech Inc.; 

11. TCS Quartz, Ltd.; 

12. Xiamen Strait Chain Technology Co.;

After a thorough analysis and evaluation of the proposals submitted by these vendors, the National Bank will select a CBDC vendor to develop a demo version of the digital som. This includes simulating payments and conducting initial test operations in a controlled environment using the digital som. The selection criteria will focus on blockchain platform technology, innovation potential, technological reliability, security of the proposed solutions, speed of payments, and the ability to integrate effectively with the existing financial infrastructure. 

Testing the prototype of the digital som is a strategic initiative of the National Bank in the digitalization of the economy and financial system of the Kyrgyz Republic. The introduction of digital currency aims to enhance financial inclusion, simplify the processes of transfer and payment, and increase the transparency and security of financial transactions. 

The National Bank will provide detailed information on the project's progress and test results through its official channels as the project stages are completed. 

 


Date: 27.02.2024
Permanent link

National Bank of the Kyrgyz Republic keeps its policy  

rate unchanged at 13.00 percent  

 

 

On February 26, 2024, the Board of the National Bank of the Kyrgyz Republic decided to keep the policy rate (key rate) unchanged at 13.00 percent. The decision becomes effective as of February 27, 2024.  

In February 2024, the annual inflation rate in the Kyrgyz Republic was 5.0 percent, having decreased from 7.3 percent in December 2023. Growth of prices for food products continues to slow down faster, meanwhile prices for non-food group of goods and services show more restrained downward trend. Stable and strong domestic demand, as well as the impact of tariff policy revision, in particular for public transport services, were the main factors to form actual inflation.  

In general, external economic environment for the economy of the Kyrgyz Republic is characterized by stable and high uncertainty due to geopolitical situation worldwide and volatility of prices in the world commodity markets. There is gradual slowdown in global inflation as a result of tightening monetary policies by the leading countries.  

Economic activity in the Kyrgyz Republic shows stable upward trend. In January 2024, the real GDP increased by 7.4 percent due to the most significant input of the sectors of industry, services and construction. An increase in real wages of the public and private sectors, growth in consumer lending and rise in net inflows of remittances into the country support domestic consumption. Implementation of the fiscal consolidation policy has a restraining effect on price movement in the country.  

The banking sector remains stable and demonstrates growth of the main indicators. The resource base of the commercial banks is expanding to demonstrate strengthening of the populations savings behavior. Interbank money and domestic foreign exchange markets remain stable. In general, the banking system demonstrates high level of excess liquidity in the national currency.  

In the short term, the trajectory of the general inflation rate in the country is expected to be within the medium-term inflation target of 5-7 percent. Measures of the National Bank will be focused on further reducing the growth rates of prices for non-food group of goods and services and, in general, the level of core inflation, which, currently, still remain above the inflation target.  

Taking into account the current conditions and trends for development of internal and external environment, the National Bank decided to keep the policy rate unchanged at 13.00 percent. This decision contributes to limiting pro-inflationary factors and keeping the inflation rate within the target values of 5-7 percent in the medium term. Maintaining the current monetary conditions will reduce the level of inflation expectations of the population and economic entities.  

The National Bank continues to monitor the current situation in the external environment and in the domestic economy. In case of any risks, the National Bank does not exclude the possibility of making necessary adjustments to the current monetary policy.  

The next regular meeting of the Board of the National Bank of the Kyrgyz Republic on the policy rate is scheduled for April 29, 2024.  


Date: 15.02.2024
Permanent link

The official information 

of the National Bank of the Kyrgyz Republic 

 

The National Bank of the Kyrgyz Republic in accordance with the Constitutional Law of the Kyrgyz Republic “On the National Bank of the Kyrgyz Republic” introduces into circulation the new banknotes in denominations of 20, 50 and 100 Som of fifth series of the national currency from February 15, 2024. 

The principal design of new banknotes of the national currency remain a reflection of the historical and cultural heritage of Kyrgyzstan and are unchanged. The portraits of representatives of art and culture have been preserved on the front of the banknotes and notable sides of the republic on the reverse. The main color and size of banknotes also remained unchanged. 

The new Kyrgyz banknotes contain three levels of security features that provide reliable protection for the public against counterfeiting. 

Banknotes of the fifth series will be put into circulation gradually as part of the planned replenishment of banknote stocks as the stocks of banknotes of the previous series are depleted. 

All national banknotes are legal tender in the territory of the Kyrgyz Republic and are subject to mandatory acceptance regardless of the year of issue. 

 

 

Security features of new 2023 banknotes in denominations of 

20, 50 and 100 Som 

 

1. WATERMARK. Look for the multi-tonal portrait combined with numbers, visible when held to the light.  

2. SECURITY THREAD visible as a broken line, and when viewed against the light it is a continuous line. Tilt the note to see a rapid movement up and down the threads background and the diamond-shaped logo of the National Bank pulsate. 

3. SEE-THROUGH IMAGE. Look for the patterns on the front and reverse sides of the banknote complete a pattern of diamonds when held to the light.  

4. RAISED INK. Feel the raised ink on the portrait, signature and denomination. 

5. LATENT IMAGE. Tilt the note to see the C in a rainbow colour stand out from the background.  

6. COLOUR-SHIFTING INK (only on the 100 Som banknote). The pattern is shifting from gold to jade, and moving double rings can be seen when the note is tilted.  

7. IRIDESCENT STRIPE (on the reverse side). The diamond-shaped logo of the National Bank and the denomination can be seen when the banknote is tilted.  

 

 

 

 

 

 

 


Date: 30.01.2024
Permanent link

National Bank of the Kyrgyz Republic keeps its policy rate unchanged at 13.00 percent  

 

 

On January 29, 2024, the Board of the National Bank of the Kyrgyz Republic decided to keep the policy rate (key rate) unchanged at 13.00 percent. The decision becomes effective as of January 30, 2024.  

Inflationary developments in the Kyrgyz Republic continue to slow down. In December 2023, the annual inflation rate was 7.3 percent, in January 2024 5.9 percent. In the structure of inflation, there was steady slowdown in the commodity group of food products in annual terms from 15.8 percent in December 2022 to 1.9 percent in January 2024. At the same time, prices for non-food products and services demonstrate slower decline, reflecting to some extent the impact of administrative measures taken to revise tariff policies for certain types of goods and services.  

The external environment conditions still remain the key factors for inflationary processes in the Kyrgyz Republic and their development indicates slower return of core inflation to the target rates. Price environment of the global food and commodity markets remains heterogeneous: the world prices for food products gradually decline, however the global oil and gold markets demonstrate price volatility. Under these conditions, further decrease of core inflation and inflation expectations of the population and economic entities will be the main priority in development and implementation of the monetary policy during 2024.  

Economic activity of the Kyrgyz Republic remains high. At the end of 2023, the real GDP increased by 6.2 percent due to the most significant contribution of the services and processing sectors. Domestic demand remains increased as a result of growing consumer lending, rise of wages and increase of remittance inflows.  

Conducted monetary policy determines strengthening of the populations savings behavior. There is expansion of the commercial banks resource base. According to the results of 2023, the volume of deposit base increased by 27.3 percent compared to 2022 and amounted to about KGS 431.3 billion. At the same time, the banking sector still shows active lending to the economy. In 2023, the volume of the loan portfolio increased by 26.3 percent, up to KGS 257.8 billion. Generally, the key performance indicators of the financial and credit organizations indicate a sufficient margin of safety, which contributes to maintaining the stability of the banking system. The commercial banks have sufficient liquidity in the national currency. The domestic foreign exchange market remains relatively stable.  

Taking into account the conditions for development of external and internal economic environment, as well as the dynamics of core inflation, which still remains at the level of two-digit indicators, the National Bank decided to keep its policy rate unchanged at 13.00 percent. The decision is aimed at further slowing down inflationary developments in the country and keeping the inflation rate within the target values of 5-7 percent in the medium term.  

The National Bank continues to monitor the current situation in the external environment and in the domestic economy. In case of any risks, the National Bank does not exclude the possibility of making necessary adjustments to the current monetary policy.  

The next regular meeting of the Board of the National Bank of the Kyrgyz Republic on the policy rate is scheduled for February 26, 2024.  


Date: 22.12.2023
Permanent link

Information message 

of the National Bank of the Kyrgyz Republic  

  

Since December 22, 2023, the National Bank of the Kyrgyz Republic put into circulation the following collection coins: “30 years of the Constitution of the Kyrgyz Republic” of the series “Historical Events” and “Beshikke saluu” (“Cradling”) of the series “Kyrgyz Customs and Ceremonies”.  

 

Collection coin “30 years of the Constitution of the Kyrgyz Republic” was issued in honor of the 30th anniversary of adoption of the first Constitution of the independent Kyrgyz Republic, which consolidated the legal platform of modern Kyrgyz statehood and proclaimed humans, their lives, rights and freedoms as the highest values of the state.  

The main plot of the obverse of the coin “30 years of the Constitution of the Kyrgyz Republic” is a stylized image of the Constitution of the Kyrgyz Republic made by color printing. The inscription: “Кыргыз Республикасынын Конституциясына 30 жыл / Конституции Кыргызской Республики 30 лет (30 years of the Constitution of the Kyrgyz Republic)”, as well as the denomination of the coin and the graphical sign of som (5 C) are depicted in the left side of the coin.  

A stylized image of a book spread is the main plot of the reverse of the coin. The coat of arms of the Kyrgyz Republic is in the center of the coin. The inscriptions: “Кыргыз Республикасынын Улуттук банкы” and “Национальный банк Кыргызской Республики (The National Bank of the Kyrgyz Republic)” are depicted in the left and right sides of the coin. The year of coin issue (2023) is specified at the bottom of the coin, in the left side.  

 

 

 

 

Specifications of the collection coin  

“30 years of the Constitution of the Kyrgyz Republic” 

Denomination 

5 Som 

Metal (alloy) 

copper-nickel 

Size (mm) 

33.00 

Weight (g) 

15.50 

Quality 

Proof-like 

Issue limit (pcs)   

500 

Price 

2 550 Som 

 

Collection coin “Beshikke Saluu” (“Cradling”) was issued to popularize the history and culture of Kyrgyzstan, as well as to revive the national customs of the Kyrgyz people.  

“Beshikke Saluu” (cradling) is one of the national ceremonies held by the Kyrgyz people in honor of the child birth. According to this ceremony, the oldest and most respected woman among the relatives laid a newborn baby in a cradle “beshik” asking the mother Umai - the patroness of the children and the women in labor - to grant the newborn long years of life and health.  

The main plot of the obverse of the coin “Beshikke Saluu” is a stylized image of a woman holding a baby and a cradle made by local gilding. There inscription: “Beshikke Saluu” and the denomination of the coin (10 Som) are depicted in the right side of the coin. The metal alloy (Ag 925) and the weight of the coin (28.28 g) are specified at the bottom of the coin.  

The main plot of the reverse of the coin is a stylized images of a woman holding an infant in a yurt, as well as a tumar - a traditional Kyrgyz amulet. The center of the coin contains the coat of arms of the Kyrgyz Republic. The circumference of the coin is provided with an inscription: “Кыргыз үрп-адаттары жана ырым-жырымдары” (Kyrgyz Customs and Ceremonies). The year of coin issue (2023) is specified at the bottom of the coin.  

 

 

 

 

Specifications of the collection coin 

“Beshikke Saluu” (“Cradling”)  

Denomination 

10 Som 

Metal (alloy) 

Ag 925 

Size (mm) 

38.61 

Weight (g) 

28.28 

Quality 

Proof 

Issue limit (pcs)   

1 000 

Price 

6 030 Som 

 

Each collection coin is placed in an acrylic capsule and packed in a separate box. A certificate of quality is attached to each silver coin.  

The collection coins of the national currency have the status of the legal tender in the territory of the Kyrgyz Republic.  

The collection coins are sold at the cash desks of the National Bank institutions on working days from 9.00 a.m. till 2.00 p.m., as well as through the website for sale of the numismatic values: www.numizmat.nbkr.kg.  


Date: 01.12.2023
Permanent link

 

National Bank of the Kyrgyz Republic keeps its policy rate unchanged at 13.00 percent 

 

On November 27, 2023, the Board of the National Bank of the Kyrgyz Republic decided to keep the policy rate (key rate) unchanged at 13.00 percent. The decision becomes effective as of November 28, 2023.  

Monetary policy measures taken by the National Bank contributed to the downward trend of inflation. The annual inflation rate demonstrates smooth decline in November 2023 it was 8.0 percent, having decreased by 6.7 percentage points compared to the beginning of 2023.  

In the structure of inflation, there was steady slowdown in the commodity group of food products, where the growth of prices, taking into account the temporary measures for state regulation of prices for some goods decreased from 15.8 percent at the beginning of 2023 down to 3.9 percent in November 2023 in annual terms. However, prices for non-food products and services remain at the same levels, reflecting the effect of tariff policy measures and the current increased domestic demand.  

The economy of the Kyrgyz Republic demonstrates upward trend: in January-October 2023, the real GDP increased by 4.5 percent (excluding “Kumtor” gold-mining enterprises 6.5 percent). The main contribution is provided by high activity in the services and manufacturing sectors. Growing domestic consumption is conditioned by stable increase in consumer lending and growth of real wages.  

The monetary sector still shows the trends observed since the beginning of the current year continued. The short-term money market rates share the same direction with the dynamics of the key rate and continue to remain within the interest rate corridor set by the National Bank. The banking system has sufficient liquidity both in KGS and in foreign currency. The situation in the domestic foreign exchange market remains stable.  

The current price reduction environment in the world food markets has a favorable impact on the domestic prices for some goods of the consumer basket. At the same time, the remaining high uncertainty and heterogeneity in the external environment due to geopolitical risks are still pro-inflationary factors for the economy of the Kyrgyz Republic. 


Date: 31.10.2023
Permanent link

National Bank keeps its policy rate unchanged at 13.00 percent.