Foreign aid to institutional reforms and the role of technical expertise as a political resource. The case of business taxation reforms in Kyrgyzstan Completed in January 2021 Yulia Poskakukhina, MSc Political Science 2006, University of Amsterdam
[email protected], https://www.linkedin.com/in/yuliaposkakukhina/ The author would like to thank everyone who contributed to and supported the research in Kyrgyzstan and the Netherlands – especially all of the respondents In dialogue with the ‘thinking and working politically’ (TWP) policy current in international development cooperation, the present study examines the leverage that foreign aid-funded technical expertise had as a resource in the legislative politics of business taxation reforms in Kyrgyzstan in 2010-2016. Specifically, it looks at how this leverage was informed by the public, decentralized and participatory dimensions of the country’s political system during that period. Thereby it explores how different national actors engaged with foreign aid-funded attempts to mobilize technical expertise for the purpose of reform advancement. The study reports that while the legislative process in Kyrgyzstan was generally associated with the primacy of informal transactions and private interests, the partakers in the policy contests treated public pressure backed by technical evidence as a significant means of influence. In particular, the country’s business leaders positioned themselves as citizen representatives who kept the government in check on its obligations to improve national wellbeing. They used the media and inter-stakeholder policy meetings to portray undesired reforms as detrimental to society, and did the same with government inaction on the reforms they favored. Thereby they sought to capitalize on the political risk that state officials and members of parliament attributed to such public criticism.