Asian Development Bank lowers forecast for Kyrgyzstan GDP growth in 2023, 2024 forecast unchanged

BISHKEK. Sept 20 (Interfax) - The Asian Development Bank (ADB) has lowered its 2023 economic growth forecast for Kyrgyzstan to 3.8% from 4.5%, while the forecast for 2024 remains at 4%, the Asian Development Outlook 2023 review published by the bank on Wednesday said.

The forecast for 2023 was revised due to slower-than-expected GDP growth from January-July.

"The republic's economy is projected to grow at a slower pace in 2023 due to slowing gold production and the impact of adverse weather conditions on agriculture, despite a strong performance in the services sector," the materials say.

However, ADB maintained its 2023 forecast for inflation in the country at 12%, while the 2024 forecast, as before, shows inflation decreasing to 8.6%.

The basic scenario for the socio-economic development of Kyrgyzstan, approved by the country's Cabinet of Ministers, assumes an increase in GDP in 2023 by 4.5%.

The National Bank of Kyrgyzstan predicts GDP growth in 2023 of nearly 4%, slowing to 3.5% in 2024. Inflation this year will be in the range of 10-12%, dropping to 8.9% in 2024.

Kyrgyzstan's GDP increased 7% in 2022, while inflation was 14.7%.