The ban on service charges has led to price increases. What is happening in cafes and restaurants?

Елена Краснова Politics
VK X OK WhatsApp Telegram
According to Resolution No. 663 "On the Regulation of Trade Activities in the Territory of the Kyrgyz Republic," adopted on October 14, starting from the beginning of 2026, catering establishments will no longer be allowed to charge a separate fee for service. This means that bills should no longer include a line for "service charge." However, the consequences of this decision have been unexpected.

Key provisions of the new resolution include:

This initiative was developed in response to requests from citizens and bloggers who questioned why they pay 15% if this amount is not recorded in cash register receipts and is effectively "gray accounting."

It should be noted that the designated service charge, calculated as a percentage of the cost of dishes, is a common practice in Kyrgyzstan and should not be confused with tips.

Restaurateurs and cafe owners stated that nothing will actually change for them, as the service charge will be included in the price of the dishes.

Gulzat Raimbekova, chairwoman of the "Horeca Club" Association, emphasized that the cost of service includes not only the services of waiters but also everything that creates comfort in the hall: furniture, quality napkins, dishes, and other service elements.

"All of this was part of the 15%. One should not forget about the cleanliness of restrooms and the availability of necessary hygiene products," she added.

Beginning of Changes

With the entry into force of the resolution, prices in cafes and restaurants began to rise. For example, if manti previously cost 300-400 soms, now their price is at least 500 soms.

"Why have such changes in prices occurred? The cancellation of the service charge coincided with a general increase in costs in the industry, including the cost of products, rent, and utilities. This also required an increase in the wage fund," Gulzat Raimbekova explained the current situation.

Inflation

At the beginning of 2025, there was a rise in prices in Kyrgyzstan, starting from 1-1.5% per month, which gradually led to previously affordable products becoming quite expensive. This applies even to basic goods such as flour, carrots, and fruits.

The National Bank of Kyrgyzstan also reported an increase in inflation in its monetary policy report.

"Inflationary pressure is expected due to rising prices in neighboring countries, increased domestic demand, and rising global prices for food and petroleum products," noted the National Bank of the Kyrgyz Republic.

Situation in the Restaurant Market

Food prices rise every year, but changes have not previously been so noticeable to visitors.
With the abolition of the service charge and simultaneous price increases, the final bill in cafes has become significantly higher. "This is business, and it is impossible to dictate terms to it," restaurant owners note.

The Ministry of Economy emphasized that changes are necessary to increase the transparency of catering establishments. Antimonopoly authorities also pointed out the right of customers to know the exact cost of services before placing an order. However, according to the head of the Antimonopoly Regulation Service, Zhenala Orozbaeva, the situation has changed.

Orozbaev noted that citizens report that restaurants have included the previously charged service fee in the cost of dishes.

"We are overseeing compliance with the Consumer Protection Law. Under this law, we have developed a plan for inspections of all catering enterprises, and in case of violations, fines are provided," he added.

Recently, the President of Kyrgyzstan, Sadyr Japarov, announced the continuation of support measures for small and medium-sized businesses.

"We continue to create favorable conditions for entrepreneurs and implement transparent systems," the president noted.

However, in practice, initiatives are often blocked at the level of executors.

Some visitors suggest temporarily ignoring catering establishments until prices decrease; however, this may negatively affect the workers of these establishments, suppliers, and producers. It is unlikely that in a country where large-scale events are popular, people will stop visiting cafes.
VK X OK WhatsApp Telegram

Read also: