Kyrgyzstan received $556.7 million of foreign direct investments in 2009

Kyrgyzstan received $556.7 million in the form of direct foreign investment (DFI) in 2009, or 64.3 percent in comparison with 2008. Such data are presented in the Kyrgyz Prime-Minister’s annual report on the government’s activity in 2009.

According to the report, it is connected with freezing of investment resources in the period of the crisis. The most attractive for investors in 2009 was financial activity, share of which in total volume of investments amounted to 42.4 percent, operations with immovable property, rent and providing services to consumers – 27.4 percent, processing industry – 12.2 percent, trade, repair of vehicles, household goods and personal demand items – 8.4 percent, construction – 3 percent.

As noted, influx of direct foreign investment from non-CIS countries in 2009 amounted to 70 percent in comparison with 2008. “Basic investors in 2009: Great Britain – 18 percent of total volume of investments ($100.7 million), China – 9.2 percent ($51.2 million), Canada – 3.5 percent ($19.7 million), Australia – 3.9 percent ($21.9 million), Turkey – 6.3 percent ($34.8 million), USA – 4.2 percent ($23.6 million), Korea – 2.1 percent ($11.9 million). Volume of direct foreign investment from CIS countries in comparison with 2008 decreased having amounted to 57.2 percent. Basic part of investments was made by investors from Kazakhstan – 34 percent ($189.1 million) and Russia – 7.5 percent ($41.6 million)”, the report says.

The investment outflows in 2009 amounted to $480 million that is $8.9 million less than in 2008. “The outflow is explained by repayment of the most part of received credits from foreign co-owners of enterprises and trade credits. It is traced practically in all spheres of economy, but the most share is under financial activity – 50.5 percent, operations with immovable property, rent and providing of services to consumers – 13.7 percent, processing industry – 22.3 percent, trade, repair of vehicles, household goods and personal demand items – 7.6 percent”, the document states.