This article examines the main concepts and significance of the digital economy, as well as analyzes the current state of digitalization processes in Kyrgyzstan and their economic aspects. The study also explores the key challenges and future opportunities for the development of the digital economy. It considers the main issues related to the country’s transition to a digital economy, the level of development of digital infrastructure, the role of government policy, and the impact of digital technologies on economic growth. In addition, the article analyzes the main economic barriers encountered in the implementation of digital transformation and possible ways to overcome them. The current state of digital infrastructure in Kyrgyzstan is evaluated, the key factors hindering its development are identified, and recommendations for the development of the digital economy are proposed. Currently, electronic government services, online banking, digital trade, and fintech services are gradually developing in the country. However, issues such as insufficient infrastructure, an underdeveloped legal framework, and a shortage of qualified specialists remain relevant in this field. The article analyzes these problems and suggests possible solutions.