National Bank notes-84 of #488 issue - floatation results

/IRBIS, Jan 17, 01/ - Today the National Bank of Kazakhstan (NBK) held the 488th auction for floatation of notes with KZT100 par value and 84 day circulation term. Announced volume of the issue is set by the issuer at KZT1,000 mln. Size of satisfaction of incompetitive applications is 60% of specified amount. The auction was conducted with additional floatation that took place at the same day. Following are complete offering data. Type of the securities Notes-84 Notes-84 NSIN KZ9CK1204A15 KZ9CK0604A13 KASE trade code NTK488.084 NTK486.084 IRBIS registration number 488/N 486/N Par value, KZT 100.00 100.00 Issuance date Jan 17, 01 Jan 12, 01 Circulation start date Jan 18, 01 Jan 12, 01 Maturity date Apr 12, 01 Apr 6, 01 Days in circulation 84 84 Number of Primary agents 8 (+ 3) Demand, mln KZT 587.4 (+ 317.0) WA yield on demand, % APR 7.94 (- 0.18) Planned volume, mln KZT 1 000.0 (+ 100.0) Actual volume, mln KZT 532.5 (+ 391.4) Cut-off price, % of par value 98.22 ( 0) WA price, % of par value 98.22 ( 0) Maximum yield, % APR 7.85 ( 0) Weighted average yield, % APR 7.85 ( 0) Effective WA yield, % APR 8.08 ( 0) The demand for the notes has grown somewhat both with respect to previous offering and with respect to preceding issue with comparable terms. The situation on the market is normalizing. But, not so as to speak about a complete stabilization of the market. The demand remains "tough", and it does not allow the issuer to borrow as much as he wants to. There is no doubt that the issuer will have no chance of getting more favorable conditions at Friday offerings of the notes. Under a big supplies of GB repayment the banks should create a great demand, and apparently, the yields of the notes- 70 will fall. Yet, the liquidity of the second tier banks was sustained by the National Bank through the purchases of the dollars at the KASE, which let the dealers to give the country's head bank half a million tenge at his offered rate. This rate (yield) generally matches market rates for borrowing money now, and the latter tend to decrease lately.