Kyrgyzstan's $25m fuel loan failed to stabilize market prices

Kyrgyzstan's Chamber of Accounts has reported that government funds allocated to stabilize domestic fuel prices were used ineffectively, specifically citing a $25 million loan granted to the company Alpha Oil (operator of Red Petroleum stations). The Findings According to auditor Alimzhan Baigazakov, the loan was issued by Eldik Bank following an application from Alpha Oil to the Ministry of Economy and Commerce. The loan carried a 7% interest rate for a three-year term. The Chamber of Accounts' analysis established the following: