The new governor of Kazakhstan’s central bank stated that the recent KZT Weakness is temporary. According to the governor, there are temporary factors, such as the stronger USD, a lower policy rate, seasonal FX demand, and the recent lifting of mandatory FX sales by exporters, that will dissipate over time. According to the governor, from a fundamental perspective, there is appreciation pressure on the currency due to the robust oil prices. The governor also reiterated the bank’s commitment to its 5% inflation target. Meanwhile, the deputy governor stated that the central bank retains the right to intervene and smoothen FX volatility.