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UPDATE 1-Kazakh cbank curbs tenge rise, boosts reserves

Published 03/02/2010, 01:58 AM
Updated 03/02/2010, 02:04 AM
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* Kazakh central bank buys $7.5 bln since November 2009

* Reserves rise to $27.5 bln in February (Adds background)

ASTANA, March 2 (Reuters) - Kazakhstan's central bank has bought over $7.5 billion on the forex market since last November to curb the appreciation of the local tenge currency , its chairman Grigory Marchenko said on Tuesday.

"At the end of February the country's total reserves were $52.7 billion... including central bank's gold and forex reserves of $27.5 billion," he told an economic conference.

Central bank reserves were $25.8 billion on Jan. 31.

Kazakhstan devalued the tenge in February 2009 as prices for oil and metals, its key exports, plunged. In November, however, the tenge started gaining against the dollar as commodity prices recovered.

The central bank widened the tenge trading band last month, saying it would allow the tenge to rise to 127.5 per dollar if the trend persists. The tenge traded at about 147-148 per dollar in February. (Reporting by Raushan Nurshayeva; Writing by Olzhas Auyezov; Editing by Lidia Kelly)

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