National Bank notes-77 of #589 issue - floatation results

/IRBIS, Nov 02, 01/ - Today the National Bank of Kazakhstan (NBK) held the 589th auction for floatation of notes with KZT100 par value and 77 day circulation term. Size of satisfaction of noncompetitive applications is 60% of specified amount. The auction was conducted with additional floatation, realized during the day. Following are complete offering data and comparison with previous similar issue. Type of the securities Notes-77 Notes-77 NSIN KZW1KD775891 KZW1KD775842 KASE trade code NTK589.077 NTK584.077 IRBIS registration number 589/N 584/N Par value, KZT 100.00 100.00 Offering date (auction) Nov 02,01 Oct 23,01 Settlement date Nov 02,01 Oct 24,01 Circulation start date Nov 03,01 Oct 25,01 Maturity date Jan 18,02 Jan 09,02 Days in circulation 77 days 77 days Planned volume, KZT m 500.0 ( 0) Number of Primary agents 11 (+ 6) Demand, KZT m 1,379.3 (+ 229.2) WA yield on demand, % APR 5.79 (+ 0.05) Actual volume, KZT m 1,165.1 (+ 286.6) Cut-off price, % of par value 98.80 (- 0.01) WA price, % of par value 98.80 (- 0.01) Maximum yield, % APR 5.74 (+ 0.05) Weighted average yield, % APR 5.74 (+ 0.05) Effective WA yield, % APR 5.87 (+ 0.05) Relative to last floatation of notes (KZW1KD425885, notes-42 from Nov 01,01) demand decreased by 31.4m tenge (2.2%), actual volume of satisfied bids increased by 291.5m tenge (33.4%), yield in effective expression has risen from 5.35 to value given in the table. Today the National Bank changed a little bit the tactics of work at primary market and was interested in maximum volume of attraction, even raising yield of own securities. Demand was satisfied almost fully. Reasons of such behavior, according to IRBIS analysts, are better to look for at currency market, where banks actively buy dollars, allowing sellers play surely on raising of American currency price. By huge floatation the National Bank tries to sterilize correspondent accounts of secondary level banks.