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This study seeks to analyze the process of transition and democratization in Kyrgyzstan from 1990 to 2000. The collapse of the Soviet Union opened new political perspectives for Kyrgyzstan and a chance to develop sovereign state based on democratic principles and values. Initially Kyrgyzstan attained some progress in building up a democratic state. However, in the second half of 1990s Kyrgyzstan shifted toward authoritarianism. Therefore, the full-scale transition to democracy has not been realized, and a well-functioning democracy has not been established. This study aims to focus on the impediments that led to the failure of establishing democracy in Kyrgyzstan. It analyzes the role of economy, political elites and political culture in the form of tribalism in Kyrgyzstan within the framework of the economic and political changes that have been undergoing since independence. The political and economic developments in Kyrgyzstan are discussed with specific reference to the hardships in economic transition, elite continuity and role of tribal and clan structures in present politics.