At the extended government meeting on January 28, the Chairman of the National Bank, Timur Suleimenov, stated that there is an increased demand for currency in the country, particularly against the backdrop of significant budget injections.
Regarding the current exchange rate of the dollar, the head of the regulator said: “We believe that in the absence of significant external and internal shocks, the tenge has found its new fundamental level.”
Timur Suleimenov proposed a series of measures to alleviate pressure on the tenge. In particular, he suggested moving towards monetary neutrality in gold purchase operations. According to Suleimenov, this would reduce the issuance of tenge by approximately 3 trillion tenge and increase the supply of foreign currency by $5.5-6 billion this year.
Additionally, the head of the National Bank reminded that the mandatory sale of half of the foreign currency earnings of the quasi-state sector has already been resumed, and interventions totaling $1.4 billion have been conducted. The regulation of the spread in exchange points has also been reinstated, and the reporting period for banks on currency operations has been shortened.
Kassym-Jomart Tokayev, after listening to the report from the head of the National Bank, Timur Suleimenov, noted the volatility of the national currency.
“Experts expect pressure on the tenge exchange rate due to the strengthening of the US dollar. Ensuring the stability of the currency as a whole and curbing inflation is extremely important work. If not to say, this is now the main task that should be carried out in close cooperation with the government. The previous assertions that we are independent and self-sufficient no longer apply, as the situation is unusual. I will express more on this later,” said Kassym-Jomart Tokayev.
Recall that by the end of December 2024, the dollar weakened by 2.5%, reaching 525.10 tenge. Currency sales from the National Fund to ensure transfers to the republican budget in December amounted to $900 million. The share of sales from the National Fund accounted for 17% of the total trading volume, or about $43 million per day.