Russia has been pressing Kyrgyzstan to soften its enforcement of Western sanctions, particularly those affecting dual-use items with military applications. However, Kyrgyz officials are not showing signs of yielding to the Kremlin's demands, as reported by Eurasianet.
During a January 31 intergovernmental session, Russian Prime Minister Mikhail Mishustin urged the Kyrgyz government to stop “unfairly targeting” Russian businesses operating in Kyrgyzstan, claiming that some companies were being subjected to extortion attempts by unnamed Kyrgyz officials. Mishustin argued that these businesses, which he described as “honest” and among the highest tax contributors, deserved protection.
In response, Kyrgyz officials took a measured approach, with Almambet Shykmamatov, head of the State Taxation Service, saying that Kyrgyzstan had already established a legal framework that ensures fair treatment for foreign investors.
“No one can be given an unreasonable advantage,” Shykmamatov stated, effectively signaling that the enforcement of sanctions would remain strict.
Kyrgyzstan has long been suspected of facilitating illicit trade bound for Russia, with some Russian-connected businesses in the country seen as enabling sanctions evasion. Trade discrepancies, such as the $914 million discrepancy in vehicle exports from Georgia to Kyrgyzstan in 2024, have fueled this perception.
Further complicating matters, Russian-linked entities in Kyrgyzstan have been placed on the US Treasury Department’s sanctions list. One recent designation was OJSC Keremet Bank, which, according to the Treasury, was involved in a sanctions evasion scheme with Russia’s Promsvyazbank.
The US pressure on Kyrgyzstan in late 2024 led to tighter trade regulations, including a new requirement for Kyrgyz importers to take delivery of goods within 60 days, in an effort to combat sanctions-busting. Despite Russian attempts to influence Kyrgyz policy, it appears that the country remains committed to enforcing sanctions while balancing its complex relationship with Russia.
