Kyrgyzstan, a country striving to break out of its economic limitations, is continuously working to support e-commerce. The idea is to create the enabling environment to support all the stakeholders in the e-commerce mix.
BC Card Kyrgyzstan, a joint Kyrgyz-Korean joint venture has recently started working in Kyrgyzstan. The partners are the South Korean companies BC Card and Smartro and JSC Interbank Processing Center of Kyrgyzstan.
The company was created to modernize and adapt the advanced payment processing system developed by BC Card to the conditions of the financial market of Kyrgyzstan. Its main task is to ensure optimal processing of domestic payments by cards of international payment systems and management of the POS terminal business and payment services within the country.
“The development of non-cash payments is not only a step towards modernizing our economy, but also towards strengthening financial security and increasing financial inclusion. We must make the payment process so convenient and simple that even those who are accustomed to cash cannot resist the transition to new technologies,” said Prime Minister Akylbek Japarov at the opening ceremony.
Meanwhile, in order to stimulate the economy through financing development projects in Kyrgyzstan, on August 23, 2024, an official ceremony of signing the Agreement on Cooperation between OJSC State Development Bank of the Kyrgyz Republic and CJSC Demir Kyrgyz International Bank was held.
The State Development Bank of the Kyrgyz Republic has allocated funds to DemirBank in the amount of 500 million soms (approx $5.8 million) under the program “Targeted financing through partner banks”.
The loan funds will be used to support and develop small and medium-sized businesses, as well as finance infrastructure projects.
Owing to this facility, the commercial partner banks have the opportunity to access inexpensive resources for the subsequent provision of loans to end borrowers at interest rates below market rates.
The State Development Bank of the Kyrgyz Republic was established on July 25, 2022 as a financial development institution to stimulate and diversify the economy of Kyrgyzstan through investment activities, including investments in large national projects.
In a related news, the National Bank of Kyrgyzstan has issued new permits for operations with electronic money and precious metals to two commercial banks. This is mentioned in a statement from the regulator.
Thus, by the decision of the Board of the National Bank of the Kyrgyz Republic dated August 21, Halyk Bank Kyrgyzstan OJSC was granted permission to issue electronic money.
By another decision also dated August 21, FinanceCreditBank OJSC was granted permission to conduct transactions with precious metals in the form of refined standard and measured bars of other issuers in cash and non-cash forms.
Simultaneously, Kyrgyz Post and China Post have signed an agreement to open an overseas warehouse of the XUAR [Xinjiang Autonomous Region] division of China Post on the premises of Kyrgyz Post in Osh. The agreement was concluded at the 14th Kashkar-Central and South Asia Fair, according to a statement from Kyrgyz Post.
The company noted that the agreement is aimed at creating a logistics hub that will service routes between China and Kyrgyzstan, as well as connect Chinese and European markets.
The main objective of the project is to improve the efficiency of transportation and sorting of postal items, express cargo and goods related to cross-border e-commerce. This should contribute to the development of cross-border trade, e-commerce and improvement of logistics routes in the region.
According to the signed agreement, the parties plan to deepen cooperation by creating special logistics routes between China and Kyrgyzstan to develop cross-border trade.
The logistics hub will be an integrated platform for handling international mail and e-commerce goods, providing a sustainable foundation for B2C logistics and foreign trade activities.
It is planned to build another logistics center on the Zhany-Korgon site, located in the Birlik ayil okmotu of the Kadamzhai district.
As reported by the Kabar news agency, the tender for the construction of the center was published by local authorities on the official portal of state procurement. /// nCa, 30 August 2024