By Rafis Abazov

Kyrgyzstan's ability to achieve sustainable development and transitioning to a greener economy hinges on a proactive approach by the country’s government, regional and international collaboration in addressing the impact of climate change and promoting long-term economic growth. However, Kyrgyzstan is grappling with significant environmental challenges, ranging from deforestation to water pollution, which threaten its long-term sustainability. In recent years, Kyrgyzstan has made significant strides in integrating green economy principles into its national development agenda. This shift reflects a broader commitment to achieving the United Nations’ Sustainable Development Goals (SDGs) and transitioning toward a more environmentally conscious, sustainable economy. The question remains: can Kyrgyzstan, a cash-strapped country with limited financial and human resources, mobilize enough resources to implement its green agenda and truly become sustainable?

Photo Credit: Pavel Fertikh

BACKGROUND: Kyrgyzstan’s environmental landscape is a mix of alpine wild woodland and man-made tree plantations. While the country boasts the beauty of its national parks and natural reserves, including major rivers like the Naryn and Talas, preserving forests and wild natural habitats remain pressing concerns. Three decades of economic and social transition have left a legacy of underfunded environmental policies, and addressing these issues remains critical to Kyrgyzstan’s green future.

One factor is the rapid rural population growth and collapse of the rural economy in recent decades, which have exacerbated the pressure on biodiversity. Impoverished farmers have turned to the extensive use of land resources, including the use of land in protected wild areas to support their income as a significant portion of the population still depends on subsistence agriculture and livestock production. This has led to deforestation, overgrazing, and land degradation threatening Kyrgyzstan’s biodiversity and rural livelihood. A second factor is corrupt business practices as some private companies enrich themselves from large-scale illegal logging, overgrazing and collecting wild harvest, further contributing to soil erosion and deforestation.

In fact, according to the Food and Agriculture Organization (FAO), between 1990 and 2015 the forest area in Kyrgyzstan declined by approximately 10.1 percent and currently forest covers a meager 4.3 percent of its land area, one of the lowest in Central Asia. The third factor is the lack of law and regulation enforcement and lack of funding for the implementation of national and international programs for preserving biodiversity and natural habitats.

The government has incorporated green economy principles into its national strategies, such as the “National Development Strategy 2040” and the “Green Economy Development Program.” These policies emphasize sustainable resource management, environmental protection, and the promotion of renewable energy sources. The SDG Agenda 2030 was designed to solidify Kyrgyzstan’s pledge to address environmental and economic challenges in a balanced, inclusive manner. By integrating green principles into its national development strategy, Kyrgyzstan seeks to ensure that future growth is both environmentally sustainable and economically beneficial.

However, the government must undertake significant efforts to advance sustainability and more effectively address environmental concerns and challenges. In recent years, the impacts of climate change have become increasingly evident, making the protection of investments and donor funding crucial for ensuring long-term economic resilience. 

IMPLICATIONS: Kyrgyzstan’s success in achieving its green economy objectives will hinge on its ability to effectively manage its existing budget and collaborate with regional and international partners. The country has already made strides in this area, having engaged in several key partnerships with international organizations and foreign governments. For instance, the United Nations Development Programme (UNDP) and the European Union (EU) have provided technical and financial support for sustainable development projects, including those focused on climate adaptation, biodiversity conservation, and energy efficiency.

One such initiative is the “Green Economy for Sustainable Development” program (2018), supported by the UNDP and aimed at strengthening Kyrgyzstan’s capacity to achieve the SDGs. The program focuses on enhancing the country’s policy frameworks, improving environmental governance, and building the capacity of key institutions.
Additionally, Kyrgyzstan has received support from international financial institutions like the World Bank and the Asian Development Bank (ADB) to fund green infrastructure projects and improve environmental resilience. Regional cooperation is also slowly emerging as Kyrgyzstan is deeply integrated into Central Asia’s complex water and energy systems. Over the past few years, Bishkek began promoting collective progress toward sustainable development and collaboration with neighboring countries, particularly on water management, biodiversity management and forest preservation projects. Efforts to revitalize the “Green Central Asia” initiative, which aims to enhance regional cooperation on climate resilience and environmental protection, could be instrumental in supporting Kyrgyzstan’s green transition.

Furthermore, the Kyrgyz government would like to introduce initiatives to promote renewable energy sources, particularly in the hydropower sector. According to the UNDP it needs to raise at least US$ 8.5 billion by 2030 for its green transition. Investments into small and medium-sized hydropower plants are encouraged, as well as exploration of the potential for solar and wind energy. The government’s willingness to explore innovative energy solutions indicates its recognition of the importance of diversifying its energy portfolio and reducing reliance on fossil fuels. Moreover, the Kyrgyz government works to address structural and institutional challenges for achieving green goals. Over the past three years it conducted a series of activities to address corruption and institutional ineffectiveness, which have historically undermined the effective implementation of environmental policies.

If the country is to “become green again,” addressing the green agenda must be prioritized, along with enacting policies to mitigate further degradation. Alibek Matiev, Head of the Green economy and tourism unit at the Ministry of Economy and Commerce declared that “The task ahead is not just ambitious, but urgent for our nation’s survival.”
Kyrgyzstan has limited financial resources and therefore needs to mobilize sufficient capital to fully implement the SDG Agenda 2030 and achieve its green economy objectives. Kyrgyzstan’s government faces significant fiscal constraints, with high levels of public debt and a reliance on foreign aid and remittances to support its economy. As such, raising the necessary funds to implement large-scale environmental and green economy projects remains a daunting task. The Kyrgyz government should recognize the importance of mobilizing private sector investments to support its green agenda. It needs to develop a positive business environment for attracting private investments, green technologies and infrastructure. To overcome this barrier, the government needs to create a more favorable business environment for sustainable investments by improving regulatory transparency, reducing bureaucratic hurdles, and offering incentives for green investments.

In the past, the cash-strapped Kyrgyz government has often relied on international organizations, such as the World Bank, ADB, EBRD, UNDP and others to finance its green projects and to address its economic weaknesses. However, in the current environment Bishkek should turn to other forms of financing especially from regional players – public and private – to raise funds for its green energy agenda. For example, neighboring countries such as Kazakhstan and Uzbekistan heavily rely on the water resources coming from Kyrgyzstan and Tajikistan and frequent conflicts have erupted over transboundary water use. It is time that all Central Asian counties identify mutually beneficial business collaboration opportunities and refrain from confrontation.

CONCLUSION: The formation and implementation of Kyrgyzstan’s environmental policy is a complex and multifaceted process that requires a balanced approach to environmental, economic, and social challenges. Kyrgyzstan’s path to becoming green again is fraught with both opportunities and risks. The Kyrgyz government should develop strong institutional frameworks and regulatory enforcement mechanisms to promote sustainable practices, especially in industries like mining and agriculture, which are critical to the national economy but also major contributors to environmental degradation.

AUTHOR BIO: Rafis Abazov, PhD, is a director of the Institute for Green and Sustainable Development at Kazakh National Agrarian Research University. He is author of The Culture and Customs of the Central Asian Republics (2007), The Stories of the Great Steppe (2013) and some others. He has been an executive manager for the Global Hub of the United Nations Academic Impact (UNAI) on Sustainability in Kazakhstan since 2014 and facilitated the International Model UN New Silk Way conference in Afghanistan and other Central Asian countries.