Kyrgyzstan Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in Kyrgyzstan, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals.
Kyrgyz Republic - Information and Communication Technology (ICT)
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Overview

The Kyrgyz Republic’s emerging ICT sector is poised to be a major economic driver to power modernization and regional development, offering significant investment and trade opportunities. The IT sector is one of the fastest growing industries in the country, which has risen in the rankings of the Global Innovation Index from 117th (2013) to 99th (2024) among 133 countries. Founded in 2021, the Ministry of Digital Development is tasked with digitalizing government services and increasing the number of services the population can access online. In 2011, the Kyrgyz Republic established the region’s first “High Technology Park,” (HTP) a preferential business regime for IT businesses that dramatically reduced or eliminated tax burdens for IT companies exporting digital goods and services abroad. In 2024, the Kyrgyz government adopted the “Digital Transformation 2024-2028” concept. The Kyrgyz Republic aims to build a sustainable digital ecosystem that promotes development, enhances citizens’ quality of life, and modernizes public services.

Leading Sub-sectors

IT Software and Services

The Kyrgyz IT landscape has enjoyed consistent growth, making it one of the most profitable and self-reliant sectors in the Kyrgyz economy. Nearly 40 percent of software and other Kyrgyz IT exports go to the United States, while the remainder reach over 60 other markets including Japan, Canada, Ukraine, Kazakhstan, India, and Germany. HTP residents specialize in software and mobile application development, gaming, and interactive technical service centers. Currently, HTP has 477 company residents, with 2,859 employees. HTP’s earnings for 2024 were $130.3 million, of which 94 percent was from exports. 

In 2024, mobile digital services expanded significantly. The Tunduk system, a digital platform developed to facilitate interagency data exchange and improve government services, enabled secure data exchange between government agencies and commercial organizations. The application allows users to receive digital versions of identity documents, driver’s licenses, vehicle registration certificates, and birth certificates. Tunduk’s Unified Identification System registered 2.04 million new users and integrated 66 new information systems. Access to the system is now available via QR code, biometric electronic card, and national ID card. By 2023, the Tunduk mobile app became one of the top five most downloaded applications in the country.

In addition, extensive work continues on high-speed internet infrastructure. Under the World Bank’s Digital Central Asia (DCASA-KR) project, a fiber-optic network will be deployed throughout the Kyrgyz Republic with 30 new backbone nodes designed as points of presence (PoPs), as well as a distribution network of 200 nodes designed as access points, providing broadband internet access to a total of 4,000 facilities. The project will provide about 60 percent of the country’s population with access to high-speed internet.

Opportunities

Under the digital transformation roadmap, the Kyrgyz government seeks to digitalize many citizen services and modernize ICT infrastructure, including customs and logistics centers, healthcare service centers, educational institutions, and transport hubs. The implementation of the Digital Transformation Roadmap for 2024-2028 follows three directions – infrastructure support, automation of all business processes, and the introduction of digital public services. The main achievement is the launch of a digital documents project. 

Prospects for U.S. exporters include broadband internet access technologies, consumer electronics, educational software, fintech and banking computer services and hardware, analytical software, ICT equipment, cyber security solutions, and legal and financial services. Cloud storage services are also in demand. 

The growing e-commerce sector holds opportunities for U.S. products and services. The sales volume of the e-commerce market of the Kyrgyz Republic reached $200-300 million in 2023. The main goods sold via e-commerce are clothing, electronics, food (restaurants and supermarkets), furniture, appliances, and toys. Both digital and physical infrastructure are still being developed for Kyrgyz e-commerce, with needs for consulting, construction, software development, digital payment methods, and data protection and privacy rights development providing opportunities for U.S. companies. Digitizing customs and export procedures to make Kyrgyz exports more competitive is another need identified by the e-commerce association. For more information, please see the e-commerce section of this guide.

Limited available financing remains a constraint for the government, which relies heavily on international donor assistance to fund major ICT projects. The country is also an emerging outsource market for international tech startups and companies seeking business process services, due to its zero percent tax regime through the HTP, low overhead costs, and skilled local IT workforce. 

The Kyrgyz Republic established the National Council for the Development of Artificial Intelligence as part of the implementation of the Digital Transformation Concept for 2024–2028. The council is tasked with developing and integrating AI technologies into key sectors of the economy and social sphere, while ensuring their safe and secure application. The council will also increase the scientific and educational potential of the country and strengthen its international position in the field of AI. In January 2023, the country purchased its first NVIDIA supercomputer in the Kyrgyz Republic, which is used to support the Kyrgyz language in digital format. There are plans to purchase additional supercomputers to accelerate the development and availability of digital technologies in the country. The Kyrgyz government remains eager to engage with the U.S. AI industry and American companies leading in technological innovation.

Resources

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Global Business Navigator Chatbot Beta

Welcome to the Global Business Navigator, an artificial intelligence (AI) Chatbot from the International Trade Administration (ITA). This tool, currently in beta version testing, is designed to provide general information on the exporting process and the resources available to assist new and experienced U.S. exporters. The Chatbot, developed using Microsoft’s Azure AI services, is trained on ITA’s export-related content and aims to quickly get users the information they need. The Chatbot is intended to make the benefits of exporting more accessible by understanding non-expert language, idiomatic expressions, and foreign languages.

Limitations

As a beta product, the Chatbot is currently being tested and its responses may occasionally produce inaccurate or incomplete information. The Chatbot is trained to decline out of scope or inappropriate requests. The Chatbot’s knowledge is limited to the public information on the Export Solutions web pages of Trade.gov, which covers a wide range of topics on exporting. While it cannot provide responses specific to a company’s product or a specific foreign market, its reference pages will guide you to other relevant government resources and market research. Always double-check the Chatbot’s responses using the provided references or by visiting the Export Solutions web pages on Trade.gov. Do not use its responses as legal or professional advice. Inaccurate advice from the Chatbot would not be a defense to violating any export rules or regulations.

Privacy

The Chatbot does not collect information about users and does not use the contents of users’ chat history to learn new information. All feedback is anonymous. Please do not enter personally identifiable information (PII), sensitive, or proprietary information into the Chatbot. Your conversations will not be connected to other interactions or accounts with ITA. Conversations with the Chatbot may be reviewed to help ITA improve the tool and address harmful, illegal, or otherwise inappropriate questions.

Translation

The Chatbot supports a wide range of languages. Because the Chatbot is trained in English and responses are translated, you should verify the translation. For example, the Chatbot may have difficulty with acronyms, abbreviations, and nuances in a language other than English.

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