By Nigar Abbasova
National currency of Kazakhstan, tenge, weakened in June, 2016 against the US dollar, the country’s national bank reported. The currency reached the rate of 336.52 in June as compared to 332.73 shown in May 2016.
Nevertheless, the currency strengthened against the level of 365.83 in January. Official rate of tenge against the euro in June amounted to 378.95 as compared to the rate of 378.16 and 397.39 in May and January respectively.
The exchange rate of tenge against Russian Ruble has increased as compared to the rate of 4.73 in January. The figure stood at the level of 5.16 and 5.1 in May and June 2016 respectively.
Earlier, the country’s KAZKOM securities investment company reported that the rate of tenge is expected to reach the level of 310-320 tenge ($0.92 – 0.95) against 1 USD by the end of 2016. Rate of inflation is expected to decrease to 8 percent by late 2016.
Inflation rate in Kazakhstan since the beginning of 2016 has amounted to 4.2 percent as compared to the rate of 1.5 percent in the same period of 2015, according to the Kazakhstan National Bank.
The Kazakh tenge has lost 40 percent of its value against the U.S dollar since the National Bank of Kazakhstan decided to switch into the floating exchange rate in August 2015.
Tenge dropped by half against the U.S. dollar during six months. In January 2016 the currency faced its lowest level at the rate of 383.91 of the USD.
The bank does not directly define the exchange rate but is eligible to resort to currency interventions should the financial system faces threats of destabilization.
Bottom-line rate of 383.91 was reported on January 22. Maximum rate of the currency since the beginning of 2016 stood at the level of 327.66 in the first half of 2016.
The official exchange rate of the US dollar and euro to Kazakh tenge was set at 338.04 tenge and 375.46 tenge respectively on July 2016.
Nigar Abbasova is AzerNews’ staff journalist, follow her on Twitter: @nigyar_abbasova
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