BISHKEK, November 14. /TASS/. Kyrgyzstan's accession to the Moscow-led Customs Union of Russia, Belarus and Kazakhstan and the newly-formalized Eurasian Economic Union next month is expected to reduce the cost of Russian, Belarusian and Kazakh goods sold in the Central Asian republic, Eurasian Economic Commission Trade Minister Andrey Slepnev said on Friday.
“We are currently working on mechanisms that allow the republic to join the association with minimum risks and maximum benefit,” Slepnev told journalists, adding that supplier cost reduction and removal of administrative barriers would drive down prices.
“On the other hand, prices may also rise, but not as a result of the Customs Union’s work, even if it happens, but because of foreign-exchange fluctuations in the organization’s member countries,” the minister said, noting that Kyrgyzstan’s entry into the alliance would possibly create new jobs since Russia and Kazakhstan promised to provide financial support to the republic.
Kyrgyz authorities decided to join the Customs Union in the spring of 2011. Six months later, the former Soviet republic filed an official request for accession. Its government is currently aligning legislation with that of the Customs Union and the wider planned common economic space.
A treaty on the republic’s accession to the Customs Union and the Eurasian Economic Union is expected to be signed on December 23.
The Eurasian Economic Union, which envisages the free movement of goods, services, capital and workforce and is based on the Customs Union, will become operational from January 1 next year.