Kazakh National Bank should take measures on dedollarization of economy

The National Bank of Kazakhstan should take measures to restore people’s trust in the national currency, tenge, and continue to work towards de-dollarizing the economy, President Nursultan Nazarbayev has said.

Nazarbayev made the remarks during his meeting with the National Bank’s head, Daniyar Akishev, Kazakh presidency said on Nov.16.

During the meeting, both sides discussed the current activities and monetary policy of the National Bank, ways to ensure financial stability in the country, as well as banks' lending to the manufacturing sector.

He noted that the falling energy prices have been affecting tenge and that this is a natural process.

Nevertheless, it is necessary to watch the inflation level and provide assistance to vulnerable sections of the population, Nazarbayev said.

The head of the National Bank, on his part, said Kazakhstan has to reckon with the ongoing developments in global financial and commodity markets, pursue a proper monetary policy and implement flexible rate fixing.

The exchange rate of tenge has significantly dropped over the last three months – from 186 tenge per dollar in July to 307.73 tenge as of Nov.16.

/By Trend/