Dollar in Kazakhstan continues to decrease due to borrowings

/IRBIS, November 05, 04/ - Information below is translated abstract of REUTERS news. Dollar tendency to decrease against tenge keeps till the end of the year taking into account high prices for oil and metals - basic exports goods of Kazakhstan, and also in connection with considerable amounts borrowed by native banks and companies. "Tenge strengthening tendency is keeping. It means that we have already received funds from placement of bonds by one of the banks. There are another banks and companies who borrow credits. Particularly TSHO (Tengizshevroil) are going to issue bonds for USD1.1 bn. - that will be too much for our market" - said Halyk bank's dealer. About intention to attract credits and loans more structures announced. Among them Kazakhstan Temir Zholy (more than USD200 m.), Kazakhstan Development Bank (USD40 m), Prodcorporation (USD40 m), ATF Bank (USD75m). Future week will not bring significant changes, dealers say, who are expecting fluctuations of exchange rate in diapason 130.50-131.50 tenge per USD1. "Hardly something will change. We most likely will test level of 131 tenge per USD1. But this may happen towards the end of the week, after receiving amounts from ATF Bank on issued bonds", - said one of the dealers of TuranAlem bank. National bank continues to be the main buyer of American currency and regulator of rate fluctuations. It, most likely, will continue policy of gradual decrease of purchase rate, market participants say. "Probably we will go down 131 tenge per USD1: all will depend from policy of National bank. Most likely, its actions will be restricting, but not impedimental" - said dealer from TuranAlem bank. Average rate of Kazakhstan tenge at main stock exchange session increased to 131.30 from 132.00 last Friday. Volume of trades decreased today to USD84.600 m. from USD182.920 m. a week ago. According to market participants along with dollar excess it is also observed tenge excess, which is sterilized by National bank through placement of notes. [2004-11-05]