Kyrgyzstan Interest Rate

The National Bank of the Kyrgyz Republic raised its key rate by 100 basis points to 11.00% at its November 24, 2025 meeting, marking its second consecutive hike and the highest borrowing cost since April 2024. The decision aims to curb persistent inflation driven by rising global food prices, higher fuel and electricity costs, and robust domestic demand. Inflation reached 7.3% year-to-date and 8.9% annually, with non-food prices rising due to elevated import costs while food inflation remained moderate. Economic activity stayed strong, with real GDP growing 10% in January–October, supported by services, construction, and industry, alongside rising wages, remittances, consumer lending, and investment. The central bank noted that external risks, including volatile energy prices, global food inflation, and pressures from partner countries, justify the tighter stance. The next policy meeting is scheduled for January 26, 2026.