Small and medium enterprises (SMEs) play a pivotal role in the economic development of transitioning economies, including Kyrgyzstan. This study examines the interplay between SME development and government support in Kyrgyzstan, focusing on policy frameworks, financial incentives, and institutional mechanisms. Drawing on qualitative and quantitative data, the analysis highlights the challenges SMEs face, including limited access to finance, regulatory barriers, and inadequate infrastructure. The paper evaluates the effectiveness of government initiatives, such as tax incentives and subsidized loans, in fostering SME growth. Findings suggest that while government support has facilitated some progress, structural inefficiencies and policy implementation gaps hinder sustainable development. Recommendations include enhancing public-private partnerships and streamlining regulatory processes to bolster the SME ecosystem. This study contributes to the literature on economic development in post-Soviet states and provides actionable insights for policymakers.
Guo et al. (Mon,) studied this question.