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Kazakhstan is issuing new state securities.

Kazakhstan is issuing new state securities.

Main Changes:

Introduction of New Instruments: Treasury obligations have been added, indexed based on the TONIA (Tenge Over Night Index Average) and TCI (TONIA Compounded Index).

List of Treasury Obligations: The decree specifies the issuance of the following types of government treasury obligations:

  1. short-term;
  2. medium-term;
  3. long-term;
  4. medium-term indexed;
  5. long-term indexed;
  6. long-term savings;
  7. special medium-term;
  8. indexed to the TONIA rate;
  9. indexed to the TONIA TCI index.

New Chapter: Rules have been established for obligations indexed to the TONIA TCI index, which are coupon-bearing securities with a nominal value of 1000 tenge. In Kazakh, these obligations are referred to as “TONIA TCI индексіне индекстелген мемлекеттік қазынашылық міндеттемелер” (METISKAM).

Maturity Period and Payment Features:

  1. TONIA TCI treasury obligations are issued with maturities exceeding one year.
  2. Placement and redemption are carried out at nominal value. Compensation is paid twice a year in the form of an indexed coupon.
  3. The coupon rate is fixed 10 business days before the end of the coupon period.

Legal Relations and Restrictions: Holders of such obligations can engage in civil law transactions, except for restrictions established by law. All transactions are conducted through a primary dealer.

The decree will come into effect on December 31, 2024.