BAKU, Azerbaijan, June 14. Kazakhstan’s tenge strengthened in May due to high market prices for oil and gas, as well as tax payments by exporters, Chairman of the country’s National Bank Galymzhan Pirmatov said at the government meeting, Trend reports via the Kazakh media.
According to Pirmatov, despite the ongoing uncertainty and volatility in global financial markets, in the reporting month the tenge grew by 6.8 percent up to make up 415.16 tenge per US dollar.
The strengthening of the national currency also took place due to a change in the sentiment of market participants following a decrease in foreign currency demand by individuals, and the strengthening of the Russian ruble, he noted.
Besides, according to the bank’s chairman, the supply on the foreign exchange market was additionally supported by the sale of foreign exchange earnings by the quasi-public entities, the volume of which in May amounted to nearly $598 million.
"Against the background of a period of large tax payments to the budget and the corresponding need to sell foreign currency, the supply of foreign currency exceeded demand. In order to maintain liquidity and level the existing imbalance between the demand and supply of foreign currency during the tax week, the National Bank purchased an excess supply of foreign currency in the amount of $110.5 million," added Pirmatov.
