Kazakh National Bank to sterilize 3.6 trillion tenge via gold-linked currency operationsThe National Bank of Kazakhstan aims to withdraw an additional 3.6 trillion tenge from circulation by year-end through its currency mirroring mechanism, chairman Timur Suleimenov announced Thursday.The central bank has already sold 1.2 trillion tenge worth of foreign currency in the first five months of 2025, proceeds from international gold sales. "Given rising global gold prices, we anticipate this mirroring operation will help sterilize 3.3-3.6 trillion tenge more this year," Suleimenov said during a briefing.The measure addresses inflationary pressures created when the bank purchases domestic gold production using tenge issuance. By selling equivalent foreign currency earned from gold exports, the bank aims to neutralize excess liquidity. Kazakhstan's inflation reached 10.7% year-on-year in April, more than double the bank's 5% target.Under regulations dating to 2011, Kazakh gold producers must sell refined gold to the central bank, which then markets it internationally. The bank plans total 2025 currency sales of $5.5-$6 billion through this mechanism.The mirroring program follows earlier foreign currency sales of 742 billion tenge in Q1 2025, with 640 billion tenge equivalent planned for Q2. (ICE ALMATY)

Fonte notizia: INTERFAX