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A Surging Tenge against the US dollar

Posted by Stavros | in Development | on June 21st, 2006
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In the competitive exchange offices of Almaty a US dollar sells for only 119 Tenge today. 119 is significant as only a few months ago it was hovering around 130 Tenge. The US dollar being the currency of reference in Kazakhstan.

Why? A major reason is that the Tenge is an oil currency. Add the famous Kazakh stability, which Western governments such as the United States applaud, a growing economy and great potential for more oil, and the markets have found a ‘winner’ despite questionable policies in areas such as freedom of expression.

From a development point of view stability and economic growth are important elements of a strong civil society in the long term. But what is the balance between economics and human rights?

It’s an open debate with no one right answer. Where would you place Kazakhstan?

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