On April 25 the regional conference "Control of big foreign currency inflows into Southern Caucasian and Central Asian countries" took place in Almaty

25.04.07 18:42
/IRBIS, Dinara Mukasheva, April 25, 07/ - The National Bank of the Republic of Kazakhstan has spread today the press release to the following effect: Quotation start On April 25 2007 the Regional Conference "Control of big foreign currency inflows into Southern Caucasian and Central Asian countries" was held in Almaty. The International Monetary Fund and the National Bank of the Republic of Kazakhstan were organizers of the conference. Top management of the International Monetary Fund, national (central) banks and state bodies of Southern Caucasus, Central Asian countries, Switzerland, Pakistan, international financial institutions (World Bank, Asian development Bank, Eurasian Development Bank), representatives of the Government of the Republic of Kazakhstan, the Agency for regulation and supervision of the financial market and financial organizations, and also members of Kazakhstan financiers association took part in the conference. The Prime minister of the Republic of Kazakhstan Karim Massimov and Director IMF department for Near East and Central Asian countries Mohsin S. Kan spoke welcoming word at the session opening. Participants actively discussed the most actual questions of the strategy and economic policy for controlling big foreign currency inflows at the conference. During the Conference in the context of the meeting, devoted to reviewing the experience of countries in the region in respect of big foreign currency inflows, Senior Advisor of IMF Department for Near east and Central Asian countries Mr David Owen described the dynamics and scale of foreign currency inflows into the region within last period of time, as well as measures taken by authorities and their outcomes. Big attention was put on inflation, exchange rate and economic growth. Within frameworks of the meeting, concerning measures of the economic policy, responding to external inflows and the experience of countries outside the region, the Leader of IMF mission in Georgia Mr John Wakeman-Lin mad Executive Director of IMF directors apparatus Mr Willy Kikens talked about problems, with which central banks met in the period of stable foreign currency inflows, about their experience of money-credit and exchange policy, and also about reduction of risks, regarding foreign currency inflows. In the course of the session "Example of the country-oil-producer (the objective research: Kazakhstan)" the Leader of IMF mission in Kazakhstan Assam Hussein came out reporting on the issue. While speaking, Mr Hussein analyzed foreign currency inflows in Kazakhstan, and also gave conclusions on measures of the economic policy in short-run, its characteristics and effects upon the economy of Kazakhstan. Chairman of the National bank of Kazakhstan Anvar Saydenov and Director of Research and Statistics Department of the National Bank in Azerbaijan Amin Gusseinov were co-reporters on the issue. Anvar Saydenov pointed out to effect of the foreign currency inflow upon exchange rate and inflation dynamics, and also spoke out some factors, influencing upon capital inflows. There were announced some undertakings of NBRK for those purposes. during the presentation it was said about the role of liberalization of Kazakhstan economy and about new tasks as regards capital inflows. In addition, within frameworks of the session "Solution of problems in view of a big volume of funds transfer (the objective research: Armenia)" the IMF representative in Armebia Mrs Nienke Homes, Chairman of the Central Bank of Armenia Mr Tigran Sarkisyan and Deputy Chairman of the National bank of Kyrgyz Republic Abdybaly tegin Suerkul spoke on this issue. It was stressed in the conference that inflows as significant export entries, funds transfers, replenish with high prices for energy resources and favorable conditions at global financial markets. They led to excessive liquidity, increase of inflation level and tendency to exchange rate's strengthening, which makes difficult to carry out the money-credit and exchange policy. In all, participants of the Conference expressed appreciation of development of the region in short-term outlook, and also noted that the policy of countries in the region is adequate enough to regulate the current situation concerning capital inflows. Quotation end [2007-04-25]