Central Asia GDP Surpasses 6% in 2025; EDB: 6.2–6.6% vs 1.1%–1.6% for Advanced Economies in 2026

Central Asia recorded economic growth of 6.2%–6.6% in 2025, per independent estimates and data from the World Bank and Eurasian Development Bank (EDB), outpacing advanced economies that are expected to expand by 1.1%–1.6% in 2026. Kazakhstan, Uzbekistan and the Kyrgyz Republic posted the strongest gains, with Uzbekistan at 7.4% and the Kyrgyz Republic at 10.3% in 2025, while Azerbaijan is forecast to grow about 3.0% in 2025. Oil and remittances remain key drivers, supported by higher global gold prices and logistics rerouting after Russia’s invasion of Ukraine. Investment in fixed capital rose over 15% in Q3 2025, and manufacturing, particularly machinery and metals, gained momentum. However, inflation remains high at roughly 12% in Kazakhstan, 9% in the Kyrgyz Republic and 7–8% in Uzbekistan, keeping borrowing costs elevated and tempering consumption. The World Bank projects Central Asia’s growth to moderate to about 5.0% in 2026 and 4.6% in 2027, citing trade and demand risks. Long-term prospects hinge on diversifying away from commodities, expanding private sector participation and reducing income gaps.