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After the break-up of the Soviet Union, the economic contraction in the Kyrgyz Republic was among the worst experienced in the Commonwealth of Independent States (CIS). Their output declined by 50% between the years 1991 and 1995. The fiscal costs to the country were nothing short of disastrous. Just as the Kyrgyz Republic was about to decisively restore growth and macroeconomic stability, a series of natural disasters and a regional crisis caused another fiscal setback.
This report details a set of measures which, if implemented, will restore fiscal stability to the country. It focuses on reforming public utilities and the tax system, citing these as in the most need of reform.
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