Struggling crisis

/KASE, October 31, 08/ - October 30, BTA Bank informed it is intending at the nearest meeting of shareholders to discuss a proposal of the Kazakhstan Government on Fund of national welfare SamrukKazyna becoming a shareholder of the bank. "BTA is supposing additional investment into capital of the bank will be positive for stabilization of domestic banking system, and will facilitate enlargement of crediting of economy, - the head of the Board of Directors of BTA Bank" Mukhtar Ablyazov. Kazkommertsbank says it may raise up to $300 m. through sales of new emission of common and preferred stock to the government." We believe the decision of the government is quite reasonable - attracting funds to economy not only via government development institutions, but through commercial banks. This will allow for refilling credit funds at domestic market and making more available financing for companies and population in the circumstances of the global financial crisis",- Ms Zhusupova added The USA Federal Reserve System (FRS) Wednesday October 29 decided to reduce basic interest rate "overnight" down to 1 % from 1.5 % APR. Therewith, credit value dropped to its four year lowest, The Wall Street Journal noted. The decision on preservation of the value of money was made unanimously. Discount rate has also been reduced 0.5 point down to 1.25 % APR. [2008-10-31]