DBK conducts checks of borrowers at the rate of 500 tenge per dollar
The institute of development tested the ability of borrowers to survive surges
The Development Bank of Kazakhstan shared some results of stress testing at of the rate of 500 tenge per one dollar among its borrowers.
"We conducted the test, using a number of parameters, the change of exchange rate was one of them. And we took 500 tenge per US dollar as a guide", - said today at a briefing the chairman of the Bank of Development of Kazakhstan Bolat Zhamishev.
"We found that 41% of the loan portfolio - is the portfolio, which does require anything, it is in tenge, or it is an export loan, in which there is no doubt, and it is a strong structure. In general, 41% of our portfolio - is something for which we are calm, even with the current exchange rate and all the risks that we have tried to evaluate during stress testing", - said Zhamishev.
However, the head of DBK said that "44% of the portfolio is sensitive to currency fluctuations, but these projects have sufficiently reliable guarantees from third parties or support of shareholders".
"In general, these are the projects that we are going to monitor, to work together on all those points, which could lead to risks. For example, in the energy sector, of course, there is a need to address the issues of tariffs to reflect the new level of the costs incurred by these companies", - said Bolat Zhamishev.
According to the chairman of BRC, "out of 9 projects, 15% are those projects that are sensitive to currency risks".
"The fluctuations will have a negative effect on it. If they took them in foreign currency, their obligations in KZT increased twice, and if there is no foreign exchange earnings, it is clear that the business model shows the possibility of some gaps", - added the head of the bank.
Bolat Zhamishev said that in 2015, the Development Bank of Kazakhstan held stress testing at the rate of 300 tenge per dollar.