Journals / Reforma / 2020 / Sayı: 87
IMPORT SUBSTITUTION AS A STRATEGY FOR ECONOMIC DEVELOPMENT OF KYRGYZSTAN: BREAKTHROUGH TECHNOLOGIES
- Journal
- Reforma
- Issue
- 2020 · Sayı: 87
- Pages
- 38–48
- DOI
- —
Abstract
The pandemic has exacerbated the import dependency of the Kyrgyz economy. Because of the insufficient capital, the motivation for entrepreneurial activity is focused on unoccupied niches in trade and services. Kyrgyz producers, who could provide the domestic market with analogs of foreign-made goods, cannot cope with this task due to lack of financial resources and equipment. This article substantiates the need for a state strategy for import substitution, through which small and medium-sized businesses could participate in the production of goods for the domestic market and enter international markets. This implicates a transition from strict regulatory methods by the state bodies to self-regulation and incentives for entrepreneurs with parity in relations between the state and SMEs.
Özet
The pandemic has exacerbated the import dependency of the Kyrgyz economy. Because of the insufficient capital, the motivation for entrepreneurial activity is focused on unoccupied niches in trade and services. Kyrgyz producers, who could provide the domestic market with analogs of foreign-made goods, cannot cope with this task due to lack of financial resources and equipment. This article substantiates the need for a state strategy for import substitution, through which small and medium-sized businesses could participate in the production of goods for the domestic market and enter international markets. This implicates a transition from strict regulatory methods by the state bodies to self-regulation and incentives for entrepreneurs with parity in relations between the state and SMEs.