National Bank notes-84 of #531 issue - floatation results

/IRBIS, May 31, 01/ - Today the National Bank of Kazakhstan (NBK) held the 531st auction for floatation of notes with KZT100 par value and 84 day circulation term. Size of satisfaction of noncompetitive applications is 60% of specified amount. The auction was conducted with additional floatation that took place at the same day. Following are the results of the auction and comparison with previous similar auction. Type of the securities Notes-84 Notes-84 NSIN KZ9CK2408A17 KZ9CK1508A18 KASE trade code NTK531.084 NTK528.084 IRBIS registration number 531/N 528/N Par value, KZT 100.00 100.00 Issuance date May 31, 01 May 22, 01 Circulation start date June 01, 01 May 23, 01 Maturity date Aug. 28, 01 Aug. 15, 01 Days in circulation 84 84 Planned volume, mln KZT 500.0 ( 0) Number of Primary agents 11 (- 1) Demand, mln KZT 777.3 (- 680.7) WA yield on demand, % APR 5.75 (- 2.55) Actual volume, mln KZT 539.6 (+ 362.6) Cut-off price, % of par value 98.75 ( 0) WA price, % of par value 98.75 ( 0) Maximum yield, % APR 5.49 ( 0) Weighted average yield, % APR 5.49 ( 0) Effective WA yield, % APR 5.60 ( 0) Compared to last auction for notes (notes-77, May 29, KZ9BK1508A19) demand grew by KZT543.3m (3.3 times), actual volume of borrowing - KZT473.3m (8.1 times), effective yield from 5.56% to 5.60%. Thus, banks' liquidity is growing. This is supported by indicative overnight quotations of interbank deposits and repo rates. The dealers also confirm this trend. They note that at evening liquidity is rather excessive. This is also confirmed by tactics of the issuer (forex and notes markets). It is clearly that issuer attempted to sterilize market. Yield stated in submitted bids confirm that some participants had a great need to invest money.