Over the past five years, the cost of construction materials and construction works in Kyrgyzstan has increased at least twofold.
Kainarbek Kuluev, a representative of the International Association of Builders, said while speaking at a roundtable discussion on the challenges and prospects of the sector.
He also commented on the situation faced by construction companies when attempting to purchase land plots for project implementation. According to Kuluev, such plots are most often bought from residents of the private housing sector, which subsequently leads to an increase in the cost per square meter.
He explained that when a neighboring homeowner learns the price at which a nearby plot was sold, they tend to raise the price of their own property.
«It works like a domino effect. The shortage of land plots limits the launch of new projects,» the expert said.
Kuluev also noted that lengthy negotiations with private homeowners significantly delay construction timelines.
«In areas where vacant plots still exist, access to engineering infrastructure is often lacking, including water supply, sewage systems, electricity, and gas supply. As a result, developers incur additional costs to build new networks and connect to them,» Kainarbek Kuluev added.
