Extractive Industries Transparency Initiative (EITI)
EITI is a global standard that promotes revenue transparency and accountability in the mining and extractive sector. EITI Regulations establish a methodology for monitoring and coordination of payments and government revenues from oil, gas and mining industries at the state level. The initiative aims to institutionalize a mechanism for publishing information aimed at combating corruption in the extractive industries by raising the awareness of the population on income and taxes. Presently EITI covers more than 95% of the mining revenues in the country.
In Kyrgyzstan, the EITI was launched by the government in 2004 in order to address issues of governance in the mining sector. Presently EITI covers more than 95% of the mining revenues in the country. The number of companies reporting under EITI, gradually increased from 6 in 2004 to 26 in 2008, 46 in 2011, 57 in 2012 and 76 in 2013.
The World Bank and the UK Department for International Development (DFID) provided funding and technical assistance through the EITI Multi Trust Fund (MDTF) for the first stage of implementing the standard in Kyrgyzstan. In 2012, the World Bank/MDTF issued a second grant to support the next stage following adoption of the standard. The National EITI Secretariat has prepared reports for 2008, 2009, 2010, 2011 and 2012, which provide information and correlate data on government revenue from the mining industry as well as taxes and other payments from the companies contributing to the state budget.
In 2010, the Kyrgyz Republic has assessed the implementation of the EITI (validation) and by the decision of the International EITI Board it received the status of full compliance with the EITI in March 2011 during the 5th EITI Global Conference in Paris. A special prize "For achieving remarkable progress in implementing the EITI in difficult circumstances" was presented to Roza Otunbaeva, the President of the Kyrgyz Republic.
Currently EITI focuses on activities at the sub-state level, mainly in the mining sector in the country. EITI has acquired a higher legal status when it was included into the new law "On Subsoil", adopted in 2012.