During the meeting, issues related to sanctions policy were discussed.
Earlier, O'Sullivan emphasized that for the leadership of the European Union, relations with the Kyrgyz Republic are of paramount importance. Sanctions are one of the tools through which EU countries seek to influence Russia as part of their foreign policy; however, circumvention of these sanctions raises serious concerns among European authorities.
Daniyar Amangeldiev noted that Kyrgyzstan adheres to a pragmatic and professional approach in managing risks, continuously strengthening measures for compliance with legislation, financial monitoring, and ensuring transparency in foreign economic operations.
Control is also necessary from European exporters
The Kyrgyz side also emphasized that successful export and financial control requires shared responsibility from all participants in the foreign economic chain, including European suppliers.
Kyrgyzstan highlighted the importance of good faith compliance by European suppliers with their export control obligations, including thorough vetting of counterparties, proper documentation of transactions, and provision of a complete package of supporting documents necessary for verifying the end user and the designation of goods.
Sanctions and financial institutions
Earlier, the 19th package of EU sanctions included financial institutions and cryptocurrency companies from Kyrgyzstan.
The Kyrgyz side reported on specific measures to enhance control in commercial banks, including comprehensive transaction checks and blocking transactions that may violate requirements.
Moreover, the Cabinet considers it important to develop clear and transparent mechanisms, including unified criteria for risk assessment, agreed procedures, and timely feedback, as well as to use reliable and up-to-date information as a basis for decision-making and further coordination of actions.
Commercial banks under sanctions
During the meeting, the necessity of preparing a joint action plan and defining the format for technical interaction to address issues related to restrictive measures against specific commercial banks was discussed.
The latest 19th package of EU sanctions included "Tolubai Bank" and "Eurasian Savings Bank".
EU Special Envoy David O'Sullivan noted that transparency is a key condition for gaining the trust of European institutions and the international community.
David O'Sullivan also reported that specific proposals for further technical cooperation aimed at removing Kyrgyz banks from the sanctions list and preventing financial risks in the future had been sent to the Kyrgyz side.
The Special Envoy added that the European Union expects further progress in strengthening mechanisms for export and financial control.
According to Bloomberg, in January 2026, the European Union is preparing new restrictive measures against Kyrgyzstan due to its assistance to Russia in circumventing sanctions.
As part of this sanctions package, the European Union is considering using its mechanism to counteract sanctions evasion for the first time, which could prohibit the export of certain machinery and radio equipment to Kyrgyzstan.
The First Deputy Chairman of the Cabinet of Ministers of the Kyrgyz Republic, Daniyar Amangeldiev, commented on potential new sanctions at the Munich Security Conference.
He stated that the Cabinet of Ministers of the Kyrgyz Republic regularly interacts with EU Special Envoy David O'Sullivan on these issues.
Amangeldiev also emphasized that the choice of the Kyrgyz Republic as a focus for European sanctions structures appears intimidating and resembles the principle of "hit the small so that the big are afraid," which the Kyrgyz side categorically disagrees with.
Note:
Since the beginning of 2022, more than 20 companies from Kyrgyzstan have been subjected to sanctions by the US and UK Treasury, including a major bank and oil and gas companies. Secondary sanctions apply not only to financial institutions and the oil industry but also to companies involved in supplies:
- telecommunications and electronic equipment,
- IT infrastructure,
- aviation fuel,
- air transportation, and more.
Brookings Institution economist Robin Brooks noted a sharp increase in export supplies from Europe to Kyrgyzstan: from Estonia — by 10,000%, from Finland — by 3,100%, from Poland and Greece — by 2,200% and 2,100%, as well as from Norway, the UK, Germany, and the Czech Republic — by more than 1,000%.
