01:33Kazakhstan: Ordinary citizens feel the heat of currency devaluation
Kazakhstan: Ordinary citizens feel the heat of currency devaluation
People on their way to market in the streets of Kazakh capital Almaty complained about rising prices on Wednesday, after the decision of the country's national bank to devalue the national currency by 19 percent on Tuesday after 'market volatility'. The bank alleges the decision will stabilise the exchange rate at 185 tenge to the US dollar.
The choice to decrease the national currency is necessary for Kazakhstan's industrial exporters to maintain their operations, said bank officials, and for the annual inflation rate to be kept steady at the six to eight percent mark.
Officials partially blamed the unstable markets which led to the decision on the US Federal Reserve's actions in withdrawing its quantitative easing policy.
01:33Kazakhstan: Ordinary citizens feel the heat of currency devaluation
People on their way to market in the streets of Kazakh capital Almaty complained about rising prices on Wednesday, after the decision of the country's national bank to devalue the national currency by 19 percent on Tuesday after 'market volatility'. The bank alleges the decision will stabilise the exchange rate at 185 tenge to the US dollar.
The choice to decrease the national currency is necessary for Kazakhstan's industrial exporters to maintain their operations, said bank officials, and for the annual inflation rate to be kept steady at the six to eight percent mark.
Officials partially blamed the unstable markets which led to the decision on the US Federal Reserve's actions in withdrawing its quantitative easing policy.