[{"bbox": [82, 106, 1146, 266], "category": "Text", "text": "however not fully using the opportunities of available global green financing mechanisms. The population, government, academia, and the private sector are inadequately equipped to efficiently put the existing progressive policies into practice and master the transition into a greener economy. The full potential of Kyrgyzstan to become a front runner in greening its country and economy is not yet harnessed. Benefits and opportunities of a green economy for Kyrgyzstan need to be further mainstreamed into policies, private sector development and amongst the Kyrgyz population."}, {"bbox": [82, 291, 1146, 346], "category": "Text", "text": "In addressing these challenges, the EU, BMZ and SDC intend to cooperate and pool resources for the common purpose of supporting Kyrgyzstan on its path towards an inclusive green economy."}, {"bbox": [82, 370, 1146, 503], "category": "Text", "text": "The programme contributes to the Agenda 2030, particularly to SDG 12 that calls for responsible consumption and production and SDG 8 decent work and economic growth. Also, there are synergies with other SDGs, including SDG 13 climate action and SDG 5 gender equality. The programme is in line with the principles identified in the new European Consensus on Development⁷, the EU Strategy for Central Asia⁸ and the EU Green Deal⁹ and the external dimension of the EU Circular Economy Action Plan (EU CEAP)¹⁰."}, {"bbox": [109, 575, 344, 606], "category": "Section-header", "text": "## 2.2 Problem Analysis"}, {"bbox": [82, 645, 1146, 965], "category": "Text", "text": "Kyrgyzstan's economic system is highly informal and is currently characterised by limited public-private dialogue, regulatory and enforcement constraints that limit economic growth, employment and the creation of pro-social and environmental synergies. Critical impediments for further private sector development as identified by the private sector are skills and attitude, legal uncertainty, corruption, market accessibility, and access to finance. In addition, efforts towards higher resource efficiency are hampered by low prices for electricity and water. Businesses need framework conditions as well as access to technologies, knowledge and finance in order to be able to initiate a transition towards a greener economy. However, in Kyrgyzstan, these opportunities for MSMEs to transform their business models are still limited and banks and other service providers do not yet offer green products or business advisory services that appeal to the businesses or consumers. Consumers hence have little choice and awareness to consume sustainably and demand for cheap affordable products and services remains high. This policy environment and economic production and consumption patterns pose a challenge to internalising social and environmental costs and operationalising social and environmental wellbeing in economic development."}, {"bbox": [82, 990, 1146, 1229], "category": "Text", "text": "Despite tremendous progress over the past decades, unemployment, underemployment and precarious job and livelihood conditions remain major causes of poverty. Future proof businesses can create sustainable employment possibilities and be the engine of economic growth and wellbeing. However, a prevailing focus on (global) competitiveness and quantitative growth of GDP, jobs and private sector income is a root cause to environmental and social externalities as well. It incentivises unsustainable practices and natural resources are depleted at a worrying rate, thus challenging the long-term development perspective of Kyrgyzstan. The country's socio-economic development is primarily based on the consumption of natural resources. So far, trickle-down effects from economic growth to enabling wellbeing for all remain limited and may not materialise sufficiently with the recent economic paradigm in Kyrgyzstan."}, {"bbox": [82, 1255, 1146, 1468], "category": "Text", "text": "The agriculture sector, which employs the most people, is less aware of sustainable practices to curb its contribution to environmental degradation, sustain the very resources it relies on and improve its impact on wellbeing. Furthermore, the anticipated climate change will have a significant impact on the livelihoods, living and health conditions of the population. Increasing scarcity of water, unsteady occurrence of precipitation late spring frost and heat waves will affect economic and especially agricultural activities throughout the country, making adaptation measures a necessity for any long-term planning, especially in the agricultural sector. Changes to the energy consumption structure are a game changer, but tangible incentives for businesses and private households to switch to renewable energy sources or implement energy efficiency measures are still limited."}, {"bbox": [72, 1540, 1082, 1565], "category": "Footnote", "text": "⁷ https://ec.europa.eu/international-partnerships/system/files/european-consensus-on-development-final-20170626_en.pdf"}, {"bbox": [72, 1565, 629, 1588], "category": "Footnote", "text": "⁸ https://www.consilium.europa.eu/media/39778/st10221-en19.pdf"}, {"bbox": [72, 1588, 999, 1613], "category": "Footnote", "text": "⁹ https://eur-lex.europa.eu/legal-content/EN/TXT/?qid=1576150542719&uri=COM%3A2019%3A640%3AFIN"}, {"bbox": [72, 1613, 886, 1637], "category": "Footnote", "text": "¹⁰ https://eur-lex.europa.eu/legal-content/EN/TXT/?qid=1583933814386&uri=COM:2020:98:FIN"}, {"bbox": [1051, 1637, 1158, 1661], "category": "Page-footer", "text": "Page 6 of 33"}]