Kyrgyzstan extends fuel import subsidies until year-end

The Kyrgyz Cabinet has decided to extend its fuel import subsidy mechanism until December 31, 2026, aiming to stabilize domestic fuel prices. This decision, signed by Cabinet head Adylbek Kasymaliev, continues a policy initially introduced in May 2026 and previously set to expire on September 30.

Under the extended mechanism, fixed prices are set for calculating subsidies: $960 per ton for AI-92 gasoline, $1,050 per ton for diesel fuel, and $650 per ton for liquefied petroleum gas (LPG) for vehicles. However, a notable change is that subsidies will now only apply to AI-92 gasoline, with AI-95 gasoline excluded from the program.

The subsidy amount will be calculated as the difference between the fixed price set by the Cabinet and the actual import cost based on contracts and invoices, including transportation expenses. Importers must submit their applications by the 25th of the month following the reporting period to the relevant state agencies, including the State Tax Service, State Customs Service, and the Antimonopoly Regulation Service, depending on the import direction.

This measure is particularly significant as Kyrgyzstan imports approximately 95% of its fuel from Russia. The country has previously experienced fuel supply issues, leading to price increases and shortages of AI-95 gasoline and diesel fuel at some gas stations. The continued subsidy aims to mitigate such volatility and ensure a more stable supply for consumers.