Complete results of placement of notes-14 #329

/IRBIS, Aug.26, 99/ - On August 25 the National Bank of Kazakhstan held 329th auction on placement of notes with par value of 100 tenge. Circulation period - 14 days. Announced volume of the issue is determined by the emitter at 200 million tenge. Size of satisfaction of noncompetitive applications is 60%. The auction was held with additional placement carried out during the same day. Following is the complete data compared with the previous comparable tranche. Type of the securities Notes-14 Notes-14 NSIN KZ8EK0909991 KZ8EK1208997 KASE trade code NTK329.014 NTK321.014 IRBIS registration number 329/N 321/N Par value, tenge 100.00 100.00 Issuance date Aug.25, 99 July.28, 99 Circulation start date Aug.26, 99 July.29, 99 Redemption date Sept.09, 99 Aug.12, 99 Days in circulation 14 14 Demand, mln tenge 4,125.9 (+1,322.8) Weighted average yield on demand, % APR 13.85 (-1.32) Planned volume, mln tenge 200.0 (0) Actual volume, mln tenge 1,702.6 (+151.4) Cut-off price, % of nominal 99.48 (+0.02) Weighted average price, % of nominal 99.48 (+0.02) Maximum yield, % APR 13.59 (-0.53) Weighted average yield, % APR 13.59 (-0.53) Effective weighted average yield, % APR 14.52 (-0.60) In notes sector nothing has significantly changed this week. Experience of previous two weeks showed market participants dollar exchange rate fluctuations should not be regarded as a trend. Currency market is developing in a side trend. Therefore, demand for short term notes is being made. The emitter uses high demand for two purposes. As much money received as it is required to achieve positive balance of net borrowings, and the rest is cut off to lower debt servicing costs gradually and constantly. If demand gets enormous, the emitter tries to keep note yields at the previous level and lowers the volume of borrowings, as he did last week. Somehow, success of the National Bank with the placement is due to flexible reaction to changes in demand parameters in last week. Now shorter securities are offered, and it evokes a positive response from investors and demand is restored again. IRBIS analysts point out demand from the banks of the second tier and their clients may be great at an auction on placement of notes-28 on Thursday, and the National Bank could lower the yield on notes again.