The National Bank of Kazakhstan keeps increasing its gold and foreign exchange reserves by purchasing dollars in the domestic market

/IRBIS, 09.08.99/ - The National Bank of Kazakhstan in its press-release (#048) issued on August 09 states that: "During the period from July 30 to August 06 both in current prices and constant prices gross and net gold- foreign exchange reserves of the National Bank increased by 1.7% and 2.6%, respectively. The reserves increase by $25.9 mln. is a result of the replenishment of foreign exchange reserves by $26.8 mln. (mainly by purchasing in the domestic market) with a little decrease in value of gold reserves by 0.8 mln". Numbers given by the National Bank show that the share of the gold in gross gold and foreign currency reserves in current prices decreased during the last week from 29.1 to 28.5%. Net reserves has decreased from 45.8 to 44.6%. It is also stated in the press-release that "present stability in the currency market had an impact on the growth of the monetary base, which has expanded from July 30 to August 06 by 1.9% (1.6 bln. tenge)". Following is a table that shows the gold and foreign exchange reserves of the National Bank on August 06 1999: In current prices In constant prices ---------------------- -------------------- 30.07.99 06.08.99 30.07.99 06.08.99 -------------------------- -------- -------- -------- -------- Gross gold and foreign exchange reserves, mln. USD 1537.7 1563.6 1591.1 1617.9 namely: assets in hard currency 1090.5 1117.3 1090.5 1117.3 gold 447.1 446.3 500.6 500.6 Net gold and foreign exchange reserves, mln. USD ** 975.9 1001.4 1029.3 1055.8 Monetary base, bln. tenge 84.2 85.8 84.2 85.8 KZT/USD (at the end of the period) 132.2 132.0 83.8 83.8 Price of gold (for 1 trojan ounce in USD) 256.75 256.25 287.45 287.45 -------------------------- -------- -------- -------- -------- * gold is shown at prices for the end of 1998 ($287.45 for 1 tr. ounce) ** net gold and foreign exchange reserves is the difference between gross reserves and obligations in hard currency.