Kyrgyzstan faces difficulties enforcing West’s Russia sanctions
BISHKEK, KYRGYZSTAN — Experts say Kyrgyzstan’s efforts to enforce Western sanctions against companies supplying dual-use goods and equipment to Russia are constrained by opposition from business, limited bureaucratic resources, and unwillingness to antagonize the Kremlin. Since 2022, the U.S. and EU governments designated a dozen Kyrgyz companies as violators of international Russia sanctions. According to the U.S. Treasury Department website, “Entities based in the Kyrgyz Republic have been frequent exporters of controlled electronics components and other technology to Russia since Russia began its full-scale invasion of Ukraine. Some of these shipments have subsequently supplied sensitive dual-use goods to entities in Russia’s defense sector.” There has been a significant rise in trade between Kyrgyzstan and Russia since Moscow’s 2022 invasion of Ukraine, with this year’s Kyrgyz exports to Russia through November up 47% from the same period last year, according to the Kyrgyz State Statistical Committee. Kyrgyzstan and Russia are both part of the Eurasian Economic Union, which also includes Armenia, Belarus and Kazakhstan. As some media reports have claimed, the Kremlin has relied on Kyrgyzstan’s membership in the bloc as a backdoor channel for sanctions evasion. Western actions targeting Kyrgyz companies have irked Kyrgyz officials, but they have taken a series of measures to avoid more sanctions. In October 2022, Kyrgyz banks stopped processing transactions with Russian MIR cards, the go-to payment system for Russian citizens. In August of this year, the Kyrgyz government set up a new government State Trading Company to engage in external trade and monitor private import and export transactions. A month later, a government decree obliged Kyrgyz banks to suspend monetary transactions of all local and foreign companies involved in reexporting goods from China, South Korea and the EU through Kyrgyzstan to Russia. The State Trading Company has been exempted from this requirement. Kyrgyz officials have portrayed the measures as effective, with Economy and Trade Minister Daniyar Amangeldiev saying in October, “We have obligations, and we are fulfilling them. Accordingly, such [sanctioned] goods never came to us, and they didn’t go through our territory.” However, regional experts paint a different picture. Bishkek political analyst Emil Juraev told VOA by email that Kyrgyzstan has limited capacity to enforce Western sanctions. “It is the purview of the [Kyrgyz] Customs Service, which must have full information about what kind of goods are being exported and imported. That way, it would be possible to see what is being shipped to … “Kyrgyzstan faces difficulties enforcing West’s Russia sanctions” →