The goal of analytical research of the shadow economy in the Kyrgyz Republic was carried out to assess the nature and scale of the concealed, or shadow economy in the Kyrgyz Republic, and to develop recommendations on the ways of integrating it into the formal economy.

Interest in the shadow economy in Kyrgyzstan lies in its socio-economic factors related to its ever increasing share in the economy and the resulting criminalization. Without considering the role of the shadow economy, it would be impossible to assess the extent of the real economic growth, evaluate the efficiency of on-going policy reforms and actions.

The shadow economy, representing illegal economic activity, is an indispensable attribute even in developed countries, let alone in transition and developing countries, making no exception for the Kyrgyz Republic . In the second half of the 1990s, the share of the shadow economy in developed countries was estimated at 12% of GDP, in transition countries - 2 3% of GDP, and in developing countries - 39% of GDP .