Cabinet Chairman Vows to Cut Insurance Premiums by Nearly Half
Kyrgyzstan to Begin Social Deduction Reforms in 2024
In 2024, Kyrgyzstan will be implementing significant reforms in the area of social deductions. According to the Chairman of the Cabinet of Ministers, Akylbek Japarov, the goal is to provide relief and reduction in social deductions.
At the II Bishkek Tax Forum, Japarov announced that preparations are underway to reduce the size of insurance premiums from 27.25 percent to 14 or even 12 percent. This decision has already been approved by President Sadyr Japarov. A meeting has been held with representatives of the financial block of the Cabinet of Ministers, and the inclination now is to reduce the amount of insurance premiums to 12 percent.
The purpose of this reduction is to allocate the saved funds towards increasing wages. Japarov emphasized that the current burden of 27.25 percent is too heavy, and the desired effect of reforms and VAT is not being seen. The ultimate goal is to transition to the introduction of the “one taxpayer – one tax” principle.
These reforms are a significant step in enhancing the social welfare of citizens and improving the overall economic landscape in Kyrgyzstan. The announcement has been met with anticipation and support from the public, as it signals a positive direction for the country’s financial policies.
