The situation on the primary T-bills market apparently became more tense. The demand for the papers (regardless of their term of circulation) declined while the bids submitted still contain high yields accompanied by lower volumes. This can be explained by the considerable devaluation of the KZT to the US Dollar, which actually washed off currency yield of the T-bills. Also, the currency market has remarkably activated, forcing the banks to reconsider investment allocations. So, the majority of free capital is currently circulating on AFINEX and interbank currency markets.

Compared to last month's results, the last auction of 3 month T-bills was characterised by a very low placed volume. The issuer managed to place the trenche in the announced volume (with insignificant overplacement) but pursuing the goal of maximum reasonable placed volume it had to yield to lower prices and higher yields.

The last auction of 6 month T-bills was held with the demand considerably lower than at the previous ones. As a result, the issuer placed the issue in the volume exceeding the announced volume by US $147,000 only. Such a low demand and high inconvenience for the issuer bid parameters are the consequence of the unfavourable inflation expectations and unwillingness of the non-residents to risk the capital which is already rather scarce on the market.