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By Trend

Kazakhstan continues to work to ensure the stability of banks, said Daniyar Akishev, chairman of the National Bank of Kazakhstan speaking at the plenary session of the Majilis on November 1.

"The measures undertaken by the National Bank cover both providing financial assistance and improving the supervisory process and shifting to risk-based supervision, within the Program for Enhancing the Financial Strength of the Banking Sector." The result will be the improvement of the banking sector and creation of incentives for reviving the lending to the economy, "Akishev said.

He further added that the credit market is reviving. "Since early 2017, the volume of bank loans in the economy increased by 4 percent to 13.2 trillion tenge. The volume of loans in national currency increased by 11 percent to 9.5 trillion tenge. The weighted average interest rate on loans in September decreased to 14 percent," he said.

Under the current conditions, the key factor in ensuring economic stability is the coordination of the state's monetary and fiscal policies, he said.

Akishev said the National Bank jointly with the government agreed on the specified forecasts of the country's economic development for the current year and the medium-term outlook that formed the basis for the draft Law "On Amendments and Additions to the Law of Kazakhstan" On the Republican Budget for 2017-2019 ".

"The inflation level from January to September 2017 was 4.2 percent, in September, in annual terms - 7.1 percent. However, the National Bank sees the risks of its increase in October, which is associated with an increase in prices for gasoline, coal and vegetable products, markets of which are experiencing imbalances between supply and demand. Nevertheless, according to the results of the current year, inflation will remain within the target corridor of 6-8 percent," Akishev said.

He added that the foreign exchange market stabilized in October, with the exchange rate at 334.71 KZT/USD as of October 31. "The strengthening of the tenge for the month was 1.9 percent, the weakening since the beginning of the year was insignificant-0.4 percent," Akishev said.

The official exchange rate for November 1 is 334.71 KZT / USD.

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