• KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%
  • KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%
  • KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%
  • KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%
  • KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%
  • KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%
  • KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%
  • KGS/USD = 0.01126 0%
  • KZT/USD = 0.00225 0%
  • TJS/USD = 0.09196 0.77%
  • UZS/USD = 0.00008 0%

Viewing results 1 - 6 of 95

Uzbekistan moves to floating exchange rate for national currency

TASHKENT (TCA) — Uzbekistan announced it will no longer restrict citizens from purchasing foreign currencies and will end a cap on the soum's daily fluctuations, removing the last roadblocks to a fully floating currency, RFE/RL's Uzbek Service reported. Continue reading

ADB issues first local currency bonds in Kazakhstan

ASTANA (TCA) — The Asian Development Bank (ADB) on January 25 said it has raised 30.4688 billion tenge (around $80 million) from two new issues of local currency bonds in Kazakhstan. Continue reading

Kazakhstan: Prime Minister outlines problems constraining economic growth

ASTANA (TCA) — At the meeting of the Kazakh Government on September 11, Prime Minister Bakytzhan Sagintayev listed to the National Bank two main problems that hamper the country’s economic growth — insufficient lending and high interest rates, the official website of the Prime Minister of Kazakhstan reported. Continue reading

Kazakhstan: Devaluation deflates a dispirited population

ASTANA (TCA) — The new fall of the Kazakh tenge against the US dollar has again hit the pockets and purchasing power of ordinary Kazakhstanis. We are republishing this article on the issue, written by Almaz Kumenov, originally published by Eurasianet: When Almaty resident Alina Seitova first made plans to tour Europe, Kazakhstan’s currency, the tenge, was in far better shape. Following the tenge’s recent slide, that trip has been put off – “until better times,” Seitova told Eurasianet. “I saved up for months for this trip, so my daughter and I could go for what would, possibly, be the best holiday of my life. We will just have to buy dollars and tighten our belts. The experts are saying the tenge may fall even further,” Seitova said. Over the summer, the tenge has slipped around 11 percent to the dollar and the euro, considerably weakening people’s buying power. The official rate currently stands around 370 to the greenback, though a dollar can fetch a few more tenge on the open market. The tourism sector was one of the first to feel the pain. Almaty tourism agency Rio Tour told Eurasianet that many clients have, like Seitova, cancelled holiday plans at the last minute, since the cost of travel abroad is inescapably tied to currency rates. Research by Kazakhstan-based monitoring agencies show that Kazakhs are also purchasing more dollars this summer, compared with spring, further pressuring the tenge. Monetary authorities have traditionally allowed the tenge to weaken in response to a fall in the price of oil, Kazakhstan’s most valuable export commodity. This August, the National Bank announced that the most recent slide was caused by a range of geopolitical troubles, including U.S. sanctions on major trading partners like Russia and Turkey. The regulator said it was prepared to intervene to calm markets. Kazakhs may have gotten off relatively lightly this time, though. Previous devaluations were far deeper. In one big bang, the National Bank allowed the tenge to fall 24 percent in February 2009; then by 19 percent in February 2014. The most dramatic collapse began in August 2015, when the National Bank allowed the tenge to float so as to keep its gold reserves intact. The currency later stabilized at somewhere near half its former level. The predominance of imports on Kazakhstan’s market means devaluations always hit hard. Dmitry Sinitsyn, a designer from Astana, recalled how he was unable to buy a computer monitor on the morning of that black day in February 2009. “I went onto the electronic equipment store’s website and I saw a blank page that just had the words: ‘We’re in shock too!’ The management had changed the prices,” he told Eurasianet. Almaty realtor Nurgali Amankulov told Eurasianet that following the previous devaluation, he saw many blow-ups and arguments. “Just imagine, you have decided to buy an apartment, you agreed on a price and you left a deposit. And then after the dollar spikes, the seller increases the price by 20 percent,” he said....

Turkish lira casts pall over Caucasus and Central Asia

BISHKEK (TCA) — The fall of the Turkish lira against the US dollar may have a negative impact on Central Asia and Caucasus countries which have extensive trade and economic relations with Turkey, with the economy of Turkmenistan facing the most serious consequences. We are republishing this article on the issue, written by Maximilian Hess*, originally published by Eurasianet: The Turkish lira last week ended one of the most turbulent weeks in its history, settling uneasily at six to the dollar. Turkey’s borrowing spree and President Recep Tayyip Erdoğan’s insistence on low interest rates hastened the lira’s fall. But more trouble could be around the corner as a spat rumbles on between Erdoğan and his equally capricious American counterpart, Donald Trump. Such are the trade, political and person-to-person contacts between Turkey, Central Asia and the Caucasus that many fear the rot could spread. Trading trouble Turkey’s trade with Kyrgyzstan and Kazakhstan has been growing steadily, despite some hiccups caused by the creation of external tariff barriers under the Moscow-led Eurasian Economic Union. Ankara’s business ties with Tajikistan, which does not share a Turkic language like the other Central Asian states, have steadily grown as well. But it is Uzbekistan that has offered the most promise as a result of the gradual opening-up effected by President Shavkat Mirziyoyev, who has worked hard to mend strained ties with Turkey as part of his global charm offensive. The textile industry is seen as one of the strongest potential areas for growth in Turkish-Central Asian trade and it is a useful bellwether for understanding what impact the currency crisis will leave. When, last September, Uzbekistan caved after many years of resistance and allowed its domestic currency, the som, to float freely, the devaluation suddenly offered the prospect of significantly cheaper Uzbek cotton for Turkish buyers. But the lira’s sustained fall means that while one lira bought 2,300 Uzbek som in September 2017 – compared to 1,200 som in August of that same year – the lira has now fallen back to 1,300. Neighboring Kyrgyzstan has put up a reasonably strong defense of its currency, which is also affecting the textile sector. Small-scale clothes-making studios are a precious and rare job-generator. “The Kyrgyz som has so far maintained its position, which means that Turkish goods, in particular clothing, have become cheaper for Kyrgyz people,” Aziz Soltobayev, chief executive of Kyrgyzstan’s leading e-commerce platform Svetofor.info, told Eurasianet. “But this will have the opposite effect for Kyrgyzstan's light industry. Cheaper imported clothing from Turkey could significantly reduce the competitiveness of Kyrgyz textiles in the local market.” Caucasus concerns Elsewhere, the lira’s fall is already pushing down the Georgian lari and the Azeri manat. Georgia-based investment bank Galt & Taggart lowered its forecast for the Georgian lari in light of Turkey's turbulence, although it is also insisted contagion should be contained. Given Georgia's reliance on imports for secondary goods, the lira's weakening will have some benefits. At the same time, any upside will be mitigated by the fact...

Anti-Russia sanctions torpedo Kazakhstan’s currency

ASTANA (TCA) — The interdependency of Russia’s and Kazakhstan’s economies has caused the Kazakh tenge’s drop following the recent fall of the Russian ruble. We are republishing this article on the issue, written by Almaz Kumenov, originally published by Eurasianet: The woes of the Russian ruble have infected Kazakhstan, causing a tumble in the value of the tenge too. Authorities have sought to reassure the public, but to little avail. The tenge has dropped more than one-tenth in value against the dollar since the start of the summer. The rate of devaluation sped up in recent days. This has been accompanied by a surge in local demand for the greenback. According to the Rating.kz monitoring agency, the volume of dollars purchased at exchange bureaus in June was 2.4 times greater than in the previous month. On August 13, the National Bank announced that the fall of the tenge had been caused by geopolitical factors — namely, the latest round of US sanctions against a range of countries, including Russia, China and Turkey. The regulator said that if the need arises, it will intervene to restore some stability to the currency. This latest round of Russia sanctions approved earlier this month, which takes effect on August 22, takes aim at some key sectors, notably banking. The immediate effect was cause the ruble to fall to levels unseen for several years. Such is the level of interdependency between Russia and Kazakhstan’s economies that the tenge immediately followed suit. Astana is trying to make reassuring noises. National Economy Minister Timur Suleimenov said on August 16 that the United States had promised, as it readied the latest anti-Russian sanctions, that it would consider Kazakhstan’s economic interests. The tenge has had a bad decade. It has endured a string of sharp cataclysmic devaluations — in 2009, 2014 and 2015 — and every such event has led to knock-on rises in prices for retail goods.

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