Nazarbayev: Shift to free-floating tenge rate was justified

During the meeting, the Chairman of the National Bank reported to President Nazarbayev on current results of the financial market over 11 months of 2016.

Akishev noted that Kazakhstani tenge had stabilized against other currencies during the reporting period.

"Over the past months the National Bank has not participated in currency trading. Thus, exchange rate formed freely without the bank's interference. Devaluation expectations minimized. Tenge strengthened for 3,4% mainly thanks to higher oil prices this month," Daniyar Akishev said.

The Chairman of the National Bank also stressed that based on the results of November 2016 inflation rate made 7,5%.

The President of Kazakhstan noted that the shift to free-floating tenge rate gave a positive impact.

"The shift to free-floating tenge rate was justified. Perhaps, there will be certain fluctuations since the exchange rate depends on global prices, however, we are ready to take necessary measures," Nursultan Nazarbayev said.

In conclusion, the Head of State gave a number of specific instructions on further stabilization of the situation in the banking system and financial market.