ISSUES OF DEVELOPMENT OF KYRGYZ REPUBLIC’S TRANSIT POTENTIAL

Geographic location of Kyrgyzstan as the bridge between Europe and Asia is the rational reason for development of transit potentials. Therefore, the principle objective is to become from potential to real transit country. Because of surface and geological features of Kyrgyzstan such as mountainous, continental climate and high landscape, cost of construction and maintenance of roads according to international standards are higher than in low landscape. As recent evidence shows own resources of country devoted to construction and maintenance of transport infrastructure is extremely low – 10 per cent of required amount. Financing these projects is due to external donor sources. However, large borrowing from international financial organizations is also limited. Private sector investment opportunities are also limited. Under these conditions one of the possible instruments of attracting investment is the public-private partnership (PPP). The most optimal approach for development of transit potential is further development and maintenance of roads network in connection with air transport and corridors and with organization of effective logistic centers.

ISSUES OF DEVELOPMENT OF KYRGYZ REPUBLIC’S TRANSIT POTENTIAL

Geographic location of Kyrgyzstan as the bridge between Europe and Asia is the rational reason for development of transit potentials. Therefore, the principle objective is to become from potential to real transit country. Because of surface and geological features of Kyrgyzstan such as mountainous, continental climate and high landscape, cost of construction and maintenance of roads according to international standards are higher than in low landscape. As recent evidence shows own resources of country devoted to construction and maintenance of transport infrastructure is extremely low – 10 per cent of required amount. Financing these projects is due to external donor sources. However, large borrowing from international financial organizations is also limited. Private sector investment opportunities are also limited. Under these conditions one of the possible instruments of attracting investment is the public-private partnership (PPP). The most optimal approach for development of transit potential is further development and maintenance of roads network in connection with air transport and corridors and with organization of effective logistic centers.

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  • Стратегия Центральноазиатского регионального экономического сотрудничества по транспорту и содействию торговле до 2020 года. – Бишкек, 2013.