IDA to Provide US$27 Million to the Kyrgyz Republic for Implementation of the National Community Initiative Project

The President of the Kyrgyz Republic, Sadyr Zhaparov, signed the Law “On the Ratification of the Agreement between the Kyrgyz Republic and the International Development Association on the Financing of the National Community Initiative Project, and the Letters of Agreement for the National Community Initiative Project, signed on November 26, 2024, in Bishkek.”

Earlier, on March 12, 2025, the above-mentioned law was approved by the Jogorku Kenesh of the Kyrgyz Republic.

The total funding allocated for the National Community Initiative Project (NCIP) amounts to US$27 million, of which US$25 million is an interest-free loan with a 50-year maturity and a 10-year grace period, and US$2 million is a grant from the Early Learning Partnership (ELP) Fund. The ELP is a multi-donor trust fund administered by the World Bank.

The funds will be used to improve climate-resilient rural infrastructure; to open and expand livelihood opportunities; and to create new jobs for women, youth, and vulnerable groups across seven Oblasts of the country.

The Ministry of Economy and Commerce of the Kyrgyz Republic will lead overall coordination of the project, working closely with relevant ministries and government agencies. The implementation of this project of the Cabinet of Ministers, financed by the International Development Association (IDA), is entrusted to the Community Development and Investment Agency (ARIS).

The NCIP will cover 40 Rayons of the Kyrgyz Republic, with one Aiyl Aimak to be selected from each. Each of the 40 selected Aiyl Aimaks will receive US$450,000 for the implementation of social infrastructure subprojects, such as kindergartens, schools, hospitals, improved heating and electricity supply, enhanced water supply, and irrigation systems.

Selection criteria include:

• highest poverty rate within the Rayon;
• largest population size;
• remoteness from the administrative center of the Rayon;
• lowest amount of equalization transfers received from the national budget.

Through ARIS, active social mobilization will help ensure inclusive participation of vulnerable groups—particularly women and youth—in the project implementation. The provision of grants will serve as significant support to target communities and local self-government bodies in implementing investment subprojects aligned with the Socio-Economic Development Programs (SEDP) of the regions.

Based on the outcomes of the social mobilization process and the development of SEDPs, 15 to 20 Aiyl Aimaks will be selected on a competitive basis to receive between US$200,000 and US$300,000 for the implementation of livelihood subprojects.

Through the collaborative engagement of all stakeholders, the project will address priority local development challenges; improve access to quality services through the establishment of private kindergartens; support women's entrepreneurship; and foster women’s leadership in target communities, among other benefits.