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Business Climate, Digitalisation and AI Uptake in Central Asia: Insights from the Private Sector of the Kyrgyz Republic  – Presentation of OECD Preliminary Findings

On 9 July 2026, the Organisation for Economic Cooperation and Development (OECD) organised a workshop in Bishkek to present the preliminary findings of the project Business Climate, Digitalisation and AI Uptake in Central Asia: Insights from the Private Sector of the Kyrgyz Republic. The event was organised in co-operation with the Government of the Kyrgyz Republic and with from financial support from the European Union (EU).

The presentations displayed during the workshop can be found below.

Opening remarks

Mr Rémi Duflot, Ambassador of the European Union to the Kyrgyz Republic, highlighted EU support for the country’s development agenda, including digital transformation under the Global Gateway initiative. He expressed hope that the OECD’s findings would help inform reforms to strengthen the business climate and promote AI adoption, while emphasising the role of the private sector as a key driver of economic growth.

Mr Choro Seyitov, First Deputy Minister of Economy and Commerce, underlined the government’s efforts to improve the business environment through regulatory simplification and digital public services, including the Tündük platform. He reiterated the importance of a dynamic private sector for economic growth and welcomed OECD work on digitalisation and AI.

Introduction: Economic overview of the Kyrgyz Republic

Ms Céleste Laporte Talamon, Policy Analyst at the OECD, presented an overview of recent economic developments. She noted that strong growth has been supported by gold exports, domestic demand, construction and services, as well as public investment in infrastructure. While the economy continues to perform well, she emphasised the need to diversify exports and highlighted opportunities linked to antimony, mercury and other critical minerals.

Mr Farid Talishli, IMF Resident Representative in the Kyrgyz Republic, noted that favourable external conditions and reform efforts have supported four years of exceptionally strong growth. He cautioned, however, that rising domestic demand is contributing to inflationary pressures and stressed the importance of maintaining reform momentum and attracting investment. Looking ahead, he highlighted investment in human capital, including AI-related skills, as a key factor for sustaining long-term growth.

Session 1: Insights on the Kyrgyz Republic’s business climate

Ms Laporte Talamon presented the preliminary findings of the OECD business climate survey. Survey results suggest that firms face fewer challenges entering the market than operating in a predictable business environment once established. Businesses pointed less to the volume of regulation than to its complexity, administrative burden and uneven implementation. Respondents highlighted concerns related to licensing and permitting procedures, repetitive documentary requirements and limited co-ordination across public institutions. Firms also reported skills mismatches, growing demand for specialised legal expertise and ongoing challenges related to the predictability of tax administration. Overall, businesses consistently emphasised the importance of a stable, transparent and predictable business environment.

Mr Nurbek Umetaliev, Head of the Entrepreneurship Development Division of the Ministry of Economy and Commerce, presented government measures to support private sector development under the National Development Strategy 2030. He highlighted subsidised financing programmes for priority sectors and plans to establish an SME Consortium under the Programme for the Support and Development of Small and Medium-Sized Enterprises until 2030.

Mr Hugh Riddell, Country Manager for the Kyrgyz Republic at the World Bank, stressed that recent growth drivers, including trade rerouting and higher commodity prices, are unlikely to sustain growth in the long term. He highlighted the importance of State-Owned Enterprise reforms and improved SME access to finance.

Mr Kubanychbek Alimov, Chair of the Green Economy Committee of the JIA Business Association, emphasised the contribution of SMEs to economic development and welcomed recent progress in the business environment, including the digitalisation of public services and stronger investor protections. He also highlighted the need to further reduce administrative barriers, improve access to finance, strengthen judicial protections and deepen dialogue between government and business.

Mr Nurilla Abdushukurov, Senior Advisor at Aretera Public Affairs, shared lessons from Uzbekistan’s reform experience that may be relevant for the Kyrgyz Republic. He also highlighted advances in regional integration, particularly in financial connectivity and cross-border infrastructure development.

Session 2: Digitalisation and AI uptake for productivity gains in the private sector

Mr Daniel Poloyko, Policy Analyst at the OECD, presented preliminary findings on digitalisation and AI adoption among SMEs. He noted that firms are increasingly digitalised and recognise the potential of AI to improve productivity and competitiveness, yet differences persist in AI uptake between smaller firms, which mostly use off-the-shelf tools, and larger ones, which strive to develop their own solutions and implement them all across the company. Relatively high fixed broadband costs, infrastructure constraints in remote areas and skills gaps continue to limit broader adoption. He highlighted the need for practical AI training and measures to reduce the costs associated with adopting new technologies.

Mr Eduard Elzar, Chief Specialist at the Ministry of Digital Development, confirmed the government’s interest in strengthening co-operation with the OECD and EU and noted that OECD standards, including the OECD AI Principles, are being considered in the development of the national AI Concept. He also highlighted ongoing efforts to attract investment and support AI adoption through partnerships and innovation ecosystems such as the High Technology Park and the Park of Creative Industries.

Mr Chubak Temirov, Deputy Director of the High Technology Park (HTP), outlined how the HTP supports AI adoption through tax incentives, skills development programmes, international partnerships and accelerator initiatives. He highlighted the Park’s growing international footprint and its role in supporting the development of digital and AI products for global markets.

Mr Erkhan Adaev, CEO of the AI Academy, stressed the importance of investing in people to accelerate digital transformation. He highlighted the need to support AI-related education, specialist training and innovative projects, and shared practical examples of AI applications in recruitment processes.

Mr Chingiz Arziev, CEO of AIRUN AI, presented the company’s Kyrgyz-language AI infrastructure, including large language models, speech recognition and translation tools. He highlighted how locally developed AI solutions can help businesses automate processes, improve customer services and deploy AI while keeping data within national infrastructure.

Mr Aibek Kurenkeev, President of the E-commerce Association of the Kyrgyz Republic, highlighted the opportunities AI offers for logistics and e-commerce, including gains in operational efficiency and supply-chain management. He stressed the importance of awareness-raising, training and practical support for businesses, alongside improved access to finance for start-ups and stronger regional co-operation, including in the digital economy.

Next steps

Evidence collected during the event will be integrated in the work. The OECD will conduct a final country workshop in Kazakhstan, the third and last country covered under this project, before finalising the report. The report will be launched at a high-level event with representatives of the European Union and Central Asian countries in the first half of 2027 to contribute to policy discussions on improving the business climate, accelerating digitalisation and supporting responsible AI uptake across the region.

OECD Presentation (English & Russian)

Presentation by ARETERA (English)

Presentation by the High Technologies Park (English)

Presentation by AIRUN.AI (Russian)

Written by:
OECD CAI
Published on:
July 16, 2026

Categories: Events

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Delegation of the European Union to Kazakhstan

Hans Farnhammer, Head of Co-operation, johann.farnhammer@eeas.europa.eu 

OECD

Grégory Lecomte, Head of the OECD Central Asia unit, gregory.lecomte@oecd.org

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