BISHKEK, Feb. 24 (Xinhua) -- The National Bank of Kyrgyzstan has raised its key interest rate by 100 basis points to 12 percent, according to a statement published on Tuesday on the bank's website.
Inflation in Kyrgyzstan has reached 1.8 percent since the beginning of 2026 as of Feb. 13, while the annual rate stood at 9.6 percent.
In January 2026, the country's real GDP expanded by 9 percent, driven by accelerating activity in the services and construction sectors. At the same time, rising real incomes and expanding consumer lending have supported domestic demand. Together, these factors have created an additional inflationary impetus, the statement said.
Given inflationary factors in the economy, the widening GDP gap and rising consumer demand, a tightening monetary policy is now necessary to create sustainable conditions for slowing inflation, it added. ■
