Kazakhstan National Bank disproves currency transactions prior to devaluation

/KASE, February 20, 09/ - The National Bank of Kazakhstan released a statement dated February 19, 2009 saying as follows: Quotation beginning The National Bank of the Republic of Kazakhstan issued an official statement after information on currency transactions made prior tenge devaluation was released in media. Media said USD2 bn. had been purchased on Kazakhstan Stock Exchange before the tenge devalued. Allegedly, Alliance Bank was an operating side in the deal. Further it was said that Halyk Savings Bank of Kazakhstan and Kazkommertsbank took tenge loans in the National Bank of the Republic of Kazakhstan under security of deposits of Fund of national wellbeing Samruk - Kazyna not long before the devaluation. The loans were returned in the tenge as well after the devaluation, having made, allegedly, therewith, quoting: "through exchange rate difference a total of USD400 m." The National Bank of the Republic of Kazakhstan to disprove the currency transactions mentioned in the article had been made by the indicated commercial banks, is presenting official data of Kazakhstan Stock Exchange. The decision on devaluation was made February 3, 2009 after trading on Kazakhstan Stock Exchange and Inter-bank Market finished. Correspondingly, it was not possible to use an opportunity to buy dollars on the exchange. All measures for preparation and implementation were taken in less than 24 hours. In recent weeks trade volume increased on Kazakhstan Stock Exchange, in January the National Bank of the Republic of Kazakhstan sold approximately USD3 bn. and USD1.5 bn. in first days of February, not USD2 bn. as was said. On January 30, 2009 Halyk Savings Bank of Kazakhstan and Kazkommertsbank received KZT120 bn. each from Fund of national wellbeing Samruk - Kazyna, however, receiving no additional loans from the National Bank of the Republic of Kazakhstan neither under security of those funds nor under other security on February 2 and 3. On February 2 BTA Bank received KZT212 bn. and Alliance Bank - KZT24 bn. In the period January 30 through February 3 BTA Bank was the biggest dealer at Kazakhstan Stock Exchange currency section with 27 % volume transaction of the total. Alliance Bank bought a bit more than insignificant USD20 m. in the period. To disprove and prevent such information to appear in media the National Bank of the Republic of Kazakhstan requested to release data on deals made by BTA Bank, Alliance Bank Halyk Savings Bank of Kazakhstan and Kazkommertsbank at the Kazakhstan Stock Exchange currency section on February 2 - 3, 2009. Therefore, Alliance Bank could not be "the operator" in the deals, as its participation was not significant those days. Neither Halyk Savings Bank of Kazakhstan nor Kazkommertsbank were granted loans under security of funds of Fund of national wellbeing Samruk-Kazyna by the National Bank of the Republic of Kazakhstan. The "transaction" described is just a creation of the brain of an anonymous author, which was reproduced by other media (republican weekly Taszhargan, conference site Tsentr Tyazhesti). In this connection we consider actions of individual persons and organizations, spreading false data, provocative and aimed at destabilization of the Kazakhstan banking system as a whole and discredit of image of certain banks. The National Bank of the Republic of Kazakhstan reserves the right to appeal to corresponding law-enforcement bodies for purposes of prevention of such actions. Quotation end [2009-02-20]