A Central Asian country of incredible natural beauty and proud nomadic traditions, most of Kyrgyzstan was formally annexed to Russia in 1876. The Kyrgyz staged a major revolt against the Tsarist Empire in 1916 in which almost one-sixth of the Kyrgyz population was killed. Kyrgyzstan became a Soviet republic in 1936 and achieved independence in 1991 when the USSR dissolved. Nationwide demonstrations in the spring of 2005 resulted in the ouster of President Askar AKAEV, who had run the country since 1990. Subsequent presidential elections in July 2005 were won overwhelmingly by former prime minister Kurmanbek BAKIEV. The political opposition organized demonstrations in Bishkek in April, May, and November 2006 resulting in the adoption of a new constitution that transferred some of the president's powers to parliament and the government. In December 2006, the Kyrgyzstani parliament voted to adopt new amendments, restoring some of the presidential powers lost in the November 2006 constitutional change. By late-September 2007, both previous versions of the constitution were declared illegal, and the country reverted to the AKAEV-era 2003 constitution, which was subsequently modified in a flawed referendum initiated by BAKIEV. The president then dissolved parliament, called for early elections, and gained control of the new parliament through his newly-created political party, Ak Jol, in December 2007 elections. Current concerns include: privatization of state-owned enterprises, negative trends in democracy and political freedoms, reduction of corruption, improving interethnic relations, electricity generation, rising food prices, and combating terrorism.

chief of state: President Kurmanbek BAKIEV (since 14 August 2005)
head of government: Prime Minister Igor CHUDINOV (since 24 December 2007); First Deputy Prime Minister Omurbek BABANOV (since 26 January 2009)
cabinet: Cabinet of Ministers proposed by the prime minister, appointed by the president; ministers in charge of defense and security, appointed solely by the president
elections: Kurmanbek BAKIEV elected by popular vote for a five-year term (eligible for a second term); election last held 10 July 2005 (next scheduled for 2010); prime minister nominated by the parliamentary party holding more than 50% of the seats; if no such party exists, the president selects the party that will nominate a prime minister
election results: Kurmanbek BAKIEV elected president; percent of vote - Kurmanbek BAKIEV 88.6%, Tursunbai BAKIR-UULU 3.9%, other candidates
Kyrgyzstan is a poor, mountainous country with a predominantly agricultural economy. Cotton, tobacco, wool, and meat are the main agricultural products, although only tobacco and cotton are exported in any quantity. Industrial exports include gold, mercury, uranium, natural gas, and electricity. Following independence, Kyrgyzstan was progressive in carrying out market reforms such as an improved regulatory system and land reform. Kyrgyzstan was the first Commonwealth of Independent States (CIS) country to be accepted into the World Trade Organization. Much of the government's stock in enterprises has been sold. Drops in production had been severe after the breakup of the Soviet Union in December 1991, but by mid-1995, production began to recover and exports began to increase. The economy is heavily weighted toward gold export and a drop in output at the main Kumtor gold mine sparked a 0.5% decline in GDP in 2002 and a 0.6% decline in 2005. The government made steady strides in controlling its substantial fiscal deficit, nearly closing the gap between revenues and expenditures in 2006, before boosting expenditures more than 20% in 2007-08. The government and international financial institutions have been engaged in a comprehensive medium-term poverty reduction and economic growth strategy. In 2005, Bishkek agreed to pursue much-needed tax reform and, in 2006, became eligible for the heavily indebted poor countries (HIPC) initiative. Progress fighting corruption, further restructuring of domestic industry, and success in attracting foreign investment are keys to future growth. GDP grew more than 6% annually in 2007-08, partly due to higher gold prices internationally, but growth is likely to decline from that level in 2009, due to declining demand and lower commodity prices in the wake of the international financial crisis.
