Published
01/06/2025, 09:20In 2024, Kyrgyzstan has implemented a number of large and landmark projects that have attracted attention both domestically and internationally. “Akchabar” has compiled the most discussed and unusual initiatives that have an impact on the economy, infrastructure and social sphere. These projects are an important step in the development of the country.
The official construction work on the railway connecting China, Kyrgyzstan and Uzbekistan began on December 27, 2024. This long-awaited project, which had been under discussion for over 25 years, has now entered its active phase thanks to the signing of an investment agreement between the governments and railway companies.
The 486-kilometer railway will connect three countries, providing a strategic transport corridor for trade and transit. 312 kilometers from the total 486 kilometers will pass through Kyrgyzstan, where 18 railway stations, 81 bridges and 41 tunnels will be constructed. The project will use two types of track gauges: the Chinese standard width of 1,435 mm and the Russian/Uzbek standard of 1,520 mm.
The implementation of the project will reduce dependence on Russia and Kazakhstan, providing a new route for the export and transit of goods to Europe, the Gulf countries and Turkey. The total construction cost is estimated at 4.7 billion USD, with funding from China (51%), Kyrgyzstan and Uzbekistan (24.5% each).
In September 2024, the new "Bedel" border checkpoint, was inaugurated on the Kyrgyzstan-China border. This project is the result of agreements between the leaders of the two countries. It will create new opportunities for trade and passenger transportation between China and Central Asia.
"Bedel" will become the third major transport corridor between our countries, alongside the "Irkeshtam" and "Torugart" checkpoints. The construction of all necessary infrastructure, including roads, bridges and customs facilities will be completed in the coming years.
The Kambar-Ata HPP-1 project represents a significant step toward ensuring Kyrgyzstan's energy independence. With a capacity of 1,860 MW and an average annual generation of 5.6 billion kWh, this major energy infrastructure will provide the country with a stable power supply. Moreover, it will create opportunities for exporting electricity to neighboring countries. And this is a direct route for foreign exchange into the country.
The project is being implemented in partnership with Kazakhstan and Uzbekistan, with support from the World Bank. On December 24, 2024, the Committee on the Fuel and Energy Complex approved a draft law on the ratification of an agreement with the International Development Association. Under the agreement, technical assistance will be provided to update the project's feasibility study, with funding totaling $13.6 million, including an $11 million loan and a $2.6 million grant.
To date, the Eurasian Development Bank has confirmed its readiness to participate in financing the project.
The assembly plant for Chevrolet and Daewoo passenger cars, as well as Isuzu commercial vehicles, will have a production capacity of 10,000 vehicles per year in the first phase, with plans to increase to 30,000 units in the future.
The project envisages the localization of production, including the assembly of 19 car models. The plant is oriented both for the domestic market and exports. Joint production is an important step in the economic integration of the two countries. The total investment amounts to 50 million USD.
The "Atbashy" ITLC is an ambitious project costing over 2 million USD, being implemented in Naryn province as part of a public-private partnership. This center will be a crucial element for the development of trade and logistics in the region. It will include modern warehouses for marketplaces (including the Chinese marketplace Temu), trade and exhibition terminals, as well as restaurant and fuel stations. A distinctive feature of the center is its status as a free economic and customs zone, offering tax incentives for residents.
Kyrgyzstan has significantly strengthened its position in industry. One of the major achievements was the opening of the oil refinery of China Petroleum Company "Junda" LLC in Kara-Balta, with a capacity of 800,000 tons per year. The refinery produces bitumen and related materials. The investment in the project from China amounted to $48 million and has created up to 1,000 jobs.
The cement plant of "Terek Tash" LLC has opened in Issyk-Ata district, capable of producing 1.5 million tons of cement per year. The plant has been constructed using the latest technologies. All production line facilities will be equipped with pulse jet filtration systems to comply with environmental and sanitary standards.
Almost the entire volume of the raw material base for cement production is sourced domestically. Additionally, clinker production has been launched in Kemin district with investments of 115 million USD.
In 2024, several mini-HPPs were launched, improving access to electricity in remote areas. In Talas province, the mini-HPP "Bala-Saruu" with a capacity of 25 MW started operating with an investment of 35 million USD, while in Batken province, the mini-HPP "Isfayram-1" with a capacity of 4 MW was launched. In Jalal-Abad province, the HPPs "Kainama" (9.6 MW) and "Kok-Art" (6.7 MW) were commissioned, providing stable power supply to the regions.
In 2024, Kyrgyzstan actively developed its mining sector. In Chatkal district, a gold extraction plant of "Eti Bakyr-Tereksai" LLC was put into operation with a processing capacity of 100,000 tons of ore. In Jalal-Abad province, the production of bitumen, diesel fuel and gasoline has begun at the plant of "ORIS NPZ" LLC with an investment of 3 million USD. The plant has a capacity of 30,000 tons of oil per year. About 100 tons of bitumen will be produced daily at the plant. The products manufactured at the plant are used in road construction in the region.
In 2024, there were significantly more projects aimed at developing the economy and infrastructure of Kyrgyzstan than those included in this review. The implementation of these initiatives is an important step toward strengthening the country's economic foundation, but other projects that impact various aspects of life and contribute to sustainable development are equally significant. Each of them, regardless of scale, contributes to improving the quality of life, developing regions and enhancing Kyrgyzstan's position on the international stage.
