Kyrgyzstan subsidizes fuel imports to curb price pressure

5/26/2026, 09:57 AMЯна Усс

Kyrgyzstan has introduced temporary subsidies for fuel importers and sellers in an effort to prevent a sharp rise in domestic prices. The government resolution took effect on May 25 and will remain in force until September 30, 2026. Under the mechanism, the state will compensate market participants for the gap between actual import purchase prices and government-set reference levels.

The reference prices are set at $860 per ton for AI-92 gasoline, $940 per ton for AI-95, $950 per ton for diesel fuel and $575 per ton for automotive LPG. Authorities have also ordered temporary state regulation of retail fuel prices, including maximum price limits, though the exact caps have not yet been detailed in the reports.

The move highlights Kyrgyzstan’s heavy dependence on imported fuel, mainly from Russia. Higher purchase prices can quickly feed into transport costs, agriculture and broader consumer inflation. Subsidies may help smooth the shock and reduce the risk of shortages, but they also add fiscal pressure and do not remove the country’s structural reliance on external supply. The key question is whether the measure will be enough through the autumn or whether the government will need to extend support if fuel markets remain volatile.

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