The National Bank of the Kyrgyz Republic plans to begin testing its digital som platform in 2027. It is not yet known when the new form of the national currency will become available to citizens and businesses for everyday transactions, the National Bank told 24.kg news agency.
The regulator intends to complete development of the platform’s basic version by the end of 2026. The regulatory framework has already been prepared, the main project documentation approved, and commercial banks selected to participate in the pilot project.
Preliminary checks of individual functions have been conducted in a test environment with the participation of these banks. Full-scale testing of the platform, including involving citizens and businesses in real-world conditions, has not yet begun.
The timeline for the wider rollout of the digital som will depend on the pilot project’s results, necessary improvements and the readiness of payment system participants.
«Developing and introducing central bank digital currencies is a complex, multi-stage process that requires thorough testing of technological solutions, security measures and payment infrastructure readiness. In most countries, similar projects are at various stages of development and testing, while experience with their widespread practical use remains limited, ” the National Bank explained.
How much does the project cost and who is funding it
The development and implementation of the digital som are being financed from the National Bank’s own funds. The project involves the regulator’s specialists as well as an external provider to be engaged for the development and deployment of the platform.
However, in its response to 24.kg news agency, the National Bank did not disclose how much had already been spent on the project or its total cost.
How is the digital som different from conventional cashless money
The digital som will become the third form of the national currency, alongside cash and non-cash money. It will be issued directly by the National Bank. One digital som will be equal in value to one conventional som.
Currently, when paying by bank card, QR code or mobile app, citizens use cashless funds held in accounts at commercial banks. The digital som will be recorded on a separate platform, with special digital wallets provided for its use.
Users are expected to be able to open such wallets through the familiar mobile apps of commercial banks. They will be able to transfer funds from their bank accounts into their wallets and then pay for goods and services or send transfers to other people.
In addition to standard payments, the new system is expected to eventually support programmable payments.
For example, in public procurement, funds could be automatically transferred to a supplier once delivery of goods has been confirmed. According to the National Bank’s concept, this would simplify settlements and improve transparency in the use of public funds.
The possibility of conducting certain transactions without an internet connection is also being considered.
This feature could be useful for residents of settlements with unstable connectivity.
The National Bank stresses that the digital som will not replace cash or conventional cashless money but will serve as an additional payment instrument. Its new features are expected to be introduced gradually, depending on the platform’s readiness and the results of testing.
In 2025, the National Bank legally established the digital som as the third form of the national currency, alongside cash and non-cash money.
Initially, the Cabinet of Ministers planned to launch the pilot project in the fourth quarter of 2026.
The digital som has also been proposed as a means of rewarding voters. MP Dastan Bekeshev included a provision in a draft election law that would provide citizens with digital money for participating in elections.
