OREANDA-NEWS. February 14, 2014. Prime Minister Serik Akhmetov has held a conference on the prevention of an agiotage and unjustified price increases due to the new exchange rate of the national currency.

Chairman of the National Bank of Kazakhstan Kairat Kelimbetov delivered a keynote speech.
"We believe that the new level of equilibrium exchange rate is the rate of about 185 tenge per U.S. dollar. To prevent destabilization of the financial market economy, the National Bank set fluctuation band of the tenge against the U.S. dollar: plus or minus three tenge. Accordingly, we will continue the policy to protect this rate, mitigate fluctuations and short-term volatility," the head of the National Bank stated.

According to him, based on the experience of past years, the Government and the National Bank are able to keep inflation at the end of this year in the planned corridor of 6-8%.

However, the National Bank introduced a limit of deviation between the buying rate and the selling rate of foreign currency for tenge in transactions conducted through the exchange offices. In particular, the U.S. dollar - 2 tenge, euro - 3 tenge, he said. In case of violations, the National Bank has the right to revoke the license.

"In general, we believe that the exchange rate adjustment will result in the improvement of competitive conditions for domestic goods and entrepreneurs working in the export and import-substituting industries," Kelimbetov concluded.

Minister of Economy and Budget Planning Yerbolat Dossayev, Agriculture Minister Assylzhan Mamytbekov, Minister of Labor and Social Protection Tamara Duissenova, Oil and Gas Minister Uzakbay Karabalin, Akim of Almaty, and governors of a number of regions spoke at the meeting too.

Summarizing the meeting, Akhmetov said that "the task of the Government together with the governors of the regions is to ensure stability of the situation and prevent the growth of prices for socially important food products."

He instructed to prevent excessive demand for essential goods, ensure smooth operation of retail outlets, set a daily monitoring of the situation on the regional markets and respond immediately to problems.

Akhmetov also ordered to establish strict control over the proper and timely payment of wages, pensions, allowances and other social benefits.

In addition, Akimats of the regions are mandated to monitor the implementation of decisions of the National Bank on tolerances rate of purchase from foreign exchange selling rate.

"We need working groups that could respond promptly. There is the decision of the National Bank, there is the currency, and the exchange offices operate stably. Our task is to implement on the spot," S. Akhmetov concluded.