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Country Assistance Plans - Kyrgyz Republic : I. Country Performance Assessment
B. Poverty Assessment8. Since independence, people in the Kyrgyz Republic have been confronted with (i) a serious deterioration of the social infrastructure, (ii) high growth of poverty, unemployment, and underemployment, (iii) a sharp reduction in the size and a change in the composition of income and social protection payments, (iv) a rapidly deteriorating social services provision, and (v) increasing social disintegration. In 1998, reflecting the severe difficulties faced by the economy, mainly as a result of the effects of the Russian crisis, the numbers of people living in poverty rose sharply to 54.9 % of the population (from 42.9 % in 1997). The Government now accords the highest priority to poverty reduction and has made this objective the centerpiece of its development priorities under the Comprehensive Development Framework (see para. 44). In view of the growing incidence of poverty in the country, and the importance now accorded by both the Government and the ADB in addressing this problem, a discussion on Poverty in the Kyrgyz Republic is presented in Appendix 7.
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