ь On January 20, 2009, a press conference related to the monetary policy report for 2008 was conducted in the Information Agency “Kabar”. The chairman of the National Bank of the Kyrgyz Republic Alapaev M.O. as well as the National Bank of the Kyrgyz Republic vice-chairmen Abdybaly tegin S., Bokontaev K.K and Chokoev Z.L. took part in the conference. They informed general public about the monetary policy results and answered the questions of journalists.  

Thus, in accordance with the preliminary data of the National Statistics Committee, the increment of consumer price index, characterizing the inflation level in 2008 constituted 20.0 percent against December 2007 (in 2007 this rate was equal to 20.1 percent).  

Still high growth rates of consumer prices were provided mainly by continuing growth of the world prices for food-products and energy resources in the first half of 2008. As consequence, in the domestic consumer market, prices for food products, oil products, gas, electric energy and other fuel types as well as for transportation services increased. Appreciation of the main raw materials resources affected the cost of derivatives, forming a high inflationary background in the economy (in the first half of 2008, the inflation rate constituted 15.2 percent).  

Starting from the second half of 2008, the process of stabilization and decrease in price for the main food products and oil products was observed in the world markets. Growth rates of consumer prices in the republic were decelerated.  

Table 1: Consumer price index in the Kyrgyz Republic  

(in percent as of December 2008) 

 

2007 

2008 

 

All goods and services  

 

120,1 

 

120,0 

Food products and non-alcoholic beverages 

131,5 

120,9 

Alcoholic beverage and tobacco products 

109,1 

113,0 

Non-food products 

109,8 

116,0 

Services 

110,6 

134,4 

 

In these conditions, the monetary policy of the National Bank of the Kyrgyz Republic was aimed at control of the inflation growth rates. The NBKR measures prevented considerable growth of the overall price level, allowed decreasing the price growth potential and limited the monetary component of inflation within 11.8 percent (according to preliminary estimations). Herewith, a contribution of non-monetary factors constituted 78.4 percent and of inflationary expectations 9.8 percent.  

In December 2008, in comparison with the previous month, the increment of consumer price index constituted 1.4 percent (according to preliminary data).  

Index of prices for food products and non-alcoholic beverages increased by 1.2 percent. There was a continuing price decrease for first grade flour and high-grade flour by 1.5 and 2.7 percent correspondingly. Prices for bread decreased by 1.9 percent and for oil and fats by 1.5 percent. However in December 2008, prices for meat increased by 0.7 percent, for vegetables and fruits by 4.6 percent, for dairy products by 3.9 percent, for sugar by 3.4 percent and for fish by 3.3 percent.  

Prices for alcohol and tobacco products increased by 1.9 percent within a month.  

Index of prices for non-food products also increased by 1.8 percent. In the group of non-food products, clothes and footwear as well as household goods rose in price by 2.2 and 4.5 percent correspondingly.  

There was a continuing prices decrease for gasoline (by 13.1 percent) and diesel fuel (9.9 percent). The price decrease for gas by 1.1 percent was also registered.  

Prices and tariffs for paid services increased in December 2008 by 0.4 percent mainly due to the prices increase for educational services by 1.2 percent, for public catering and hotels by 0.7 percent and for medical care services by 0.5 percent.  

The monetary base in the period of January-December 2008 increased by 3 574.9 million soms (+11.3 percent) and constituted 35 150.8 million soms as of December 31, 2008 (as of January 1, 2008 31 575.9 million soms). In the period of January-December 2007, the monetary base increased by 38.5 percent.  

General reserves of commercial banks constituted 3 835.1 million soms as of the end of December 2008, having decreased by 4.5 percent from the beginning of the year. Over the corresponding period of 2007, general reserves of commercial banks increased by 38.9 percent.  

Gross international reserves constituted 1 224.6 million US dollars as of the end of December 2008 (1 176.6 million US dollars as of January 1, 2008). Increase of the period January-December 2008 constituted 48.0 million US dollars.  

The money stock M2X increased by 5 434.8 million soms in the period of January-December 2008 and constituted 48 452.7 million soms (М2Х as of January 1, 2008 was equal to 43 018.0 million soms).  

The USD discount rate increased by 11.04 percent and constituted 39.4181 KGS/USD as of January 1, 2009. Within the period of January-December 2007, the USD exchange rate decreased by 6.89 percent against KGS and constituted 35.4988 KGS/USD.  

Credit portfolio of operating commercial banks increased by 22.81 in the period of January-December 2008 and constituted 25 607.9 million soms (in the period of January-December 2007, credit portfolio increased by 83.70 percent and constituted 20 850.8 million soms). Credit portfolio value in the national currency increased by 2.48 percentage points in November 2008 and constituted 23.78 percent as of December 1, 2008. An average interest rate on newly issued credits in the national currency constituted 25.93 percent in January-November 2008 (in comparison with the corresponding period of 2007, the increase of 2.94 percentage points). Credit portfolio value in a foreign currency increased by 1.43 percentage points in November 2008 and constituted 19.48 percent as of December 1, 2008. An average interest rate on newly issued credits in a foreign currency constituted 20.34 percent in January-November 2008 (in comparison with the corresponding period of 2007, the increase of 1.83 percentage points).  

The deposits volume of operating commercial banks increase by 26.09 percent and constituted 29 558.5 million soms as of the end of December (within the period of January-December 2007, the deposits volume increased by 39.48 percent and constituted 23 442.7 million soms). The deposit base value in the national currency increased by 0.82 percentage points in November 2008 and constituted 5.47 percent as of December 1, 2008. An average interest rate on newly accepted deposits in the national currency for the period of January-November 2008 increased by 0.36 percentage points in comparison with the corresponding period of 2007 and constituted 2.44 percent. The deposit base value in a foreign currency decreased by 0.60 percentage points in November 2008 and constituted 1.60 percent as of November 1, 2008. An average interest rate on newly accepted deposits in a foreign currency for the period of January-November 2008 decreased by 0.02 percentage points in comparison with the corresponding period of 2007 and constituted 0.86 percent. An average interest rate on newly accepted fixed deposits in the national currency decreased by 0.10 percentage points in comparison with the period of January-November 2007 and constituted 6.95 percent, also rate of fixed deposits in a foreign currency increased by 0.28 percentage points and constituted 5.60 percent.  

According to the factual data of the National Statistics Committee and preliminary data of the State Customs Committee, the trade balance deficit of the Kyrgyz Republic constituted 1 737.8 million US dollars in the period of January-November 2008 against 1 118.3 million US dollars in the corresponding period of 2007. External turnover in FOB prices for 11 months of 2008 constituted 5 056.9 million US dollars, having increased by 43.7 percent in comparison with the corresponding rate of 2007. Trade turnover with the CIS countries increased by 46.0 percent and with non-CIS countries by 40.9 percent. Trade turnover growth became possible due to increase of export and import transactions. Herewith the import growth rates in the analyzed period constituted 46.5 percent and export growth rates 38.2 percent.  

As of January 14, 2009, the number of issued local cards constituted: for “Alay-Card” system 24 371, for “Demir 24” system 5 956, for Visa Electron 16 613 and for the national system “Elcart” 37 161 cards.  

 

ь Provision “On the procedure of allocation, repeated tender, further allocation, reverse repayment and settlements performance for state treasury bonds of the Kyrgyz Republic through the National Bank of the Kyrgyz Republic”, approved by the NBKR Board resolution No.42/4 dated November 26, 2008, as well as changes and additions to the Provision “On the procedure of holding of an auction on allocation, circulation and redemption of notes of the National Bank of the Kyrgyz Republic”, approved by the NBKR Board resolutions No.45/10 and No.45/11 dated December 10, 2008 came into force after publication in the journal “Statutory acts of the National Bank of the Kyrgyz Republic” No.2009/1. You can survey the Provisions on the official site of the National Bank of the Kyrgyz Republic www.nbkr.kg in the section “Normative acts/Monetary police and currency exchange regulation”. 

 

 

The National Bank of the Kyrgyz Republic issued licenses/certificates to the following non-banking financial institutions and exchange offices: 

 

1. PE Hoshimov Ziehidin (License No 3860 dated January 23, 2009 for conducting cash foreign exchange transactions). Legal address: Vokzalnaya Str., Bazarkorgon village, Jalalabat oblast; 

2. CJSC Xanadu Casino (License No 3859 dated January 23, 2009 for conducting cash foreign exchange transactions). Registration number: 2110. Legal address: 191, Abdrahmanova Str., Bishkek; 

3. PE Bektemirova Nuria Abdullaevna (License No 3858 dated January 22, 2009 for conducting cash foreign exchange transactions). Legal address: Bazarnaya Str., Osh, Osh oblast; 

4. Additional Responsibility Society pawn office «Kayrat» (license No.3721 dated August 15, 2008 for conducting cash foreign exchange transactions 

ь Letter of registration of the exchange office: registration number of additional exchange office: 2109 dated January 23, 2009. Legal address: 66/1, Yunusalieva Str., Bishkek.  

ь Letter of registration of the exchange office: registration number of additional exchange office: 2108 dated January 23, 2009. Legal address: 9/1, Nurkamal Str., Bishkek. 

5. PE Esenaliev Kubanychbek Kanybekovich (License No 3857 dated January 21, 2009 for conducting cash foreign exchange transactions). Registration number: 2107. Legal address: 286, Kurmanjan Datka Str., Bishkek; 

6. PE Kadirov Mamir Kabyljanovich (License No 3856 dated January 19, 2009 for conducting cash foreign exchange transactions). Legal address: Bazarnaya Str., Osh, Osh oblast. 

 

 

The NBKR revoked certificates from the following NBFI: 

 

1. License No.3698 dated July 21, 2008 has been revoked from the PE Bolokbaev Aybek Askerbaevich on the basis of the application for discontinuation of activities of the exchange office dated January 19, 2009. Legal address: 146, Abdrahmanova Str., Bishkek; 

2. Licence No.358 dated March 25, 2002 has been revoked from the Credit Union “Jol-Jakshy” from January 22, 2009 on the basis of the minutes of general meeting on self-liquidating of the Credit Union dated December 25, 2008. Legal address: 6, Kushbakova Str., Kara-Suu, Karasuiskiy rayon, Osh oblast. 

 

 

National currency of Slovakia has been withdrawn from circulation  

 

 

From January 17, 2009, national currency of Slovakia is withdrawn from circulation. All payments are settled in EURO.  

Slovakia officially entered the Euro-zone on January 1, 2009, however within two weeks after that both EURO and Slovak crones were accepted to payments, as AFP informed. The Central Bank of the country has withdrawn 72 percent of the overall amount of crones in circulation as of the end of 2007. According to the banks estimations, nowadays more than 43 billion crones are still on hand of population (about 1.4 billion EURO).  

Paper crones may be exchanged in commercial banks till the end of 2009, coins till the end of June. The Central Bank will exchange old banknotes without time limitation.  

 

 

Interbank payments 

 

Indexes of the Interbank Payment Systems (IPS) 

  

Total IPS 

including 

Clearing system 

Gross system 

volume 

million soms 

quantity items 

volume 

million soms 

quantity items 

volume 

million soms 

quantity items 

Indexes for the period from January 19, 2008 to January 23, 2009 (reporting period) 

Absolute Value 

8 532,0 

57 380 

1 008,5 

55 581 

7 523,5 

1 799 

Share in IPS payments (%) 

100,0 

100,0 

11,8 

96,9 

88,2 

3,1 

including (%): 

 

 

 

 

 

 

Net positions of Common Interbank Processing Center 

0,1 

0,4 

0,4 

0,4 

0,0 

0,0 

Outgoing to the Central Treasurer's Office 

10,2 

5,7 

13,3 

5,8 

9,8 

2,3 

Incoming from the Central Treasurer's Office 

13,0 

48,2 

27,2 

49,7 

11,1 

2,3 

Outgoing to the Social Fund 

0,01 

0,1 

0,1 

0,1 

0,0 

0,0 

Incoming from the Social Fund 

0,6 

2,5 

5,3 

2,6 

0,0 

0,0 

Average weekly indexes for the previous month 

Absolute Value 

11 178,1 

73 538 

1 509,5 

71 070 

9 668,6 

2 469 

Indexes deviations of the reporting period from the weekly average indexes of the previous month  

 

-2 646,0 

-16 158 

-500,9 

-15 489 

-2 145,1 

-670 

-23,7 

-22,0 

-33,2 

-21,8 

-22,2 

-27,1