ASTANA, Sept 15
(THE GLOBE)
Control and supervision functions of republican state enterprises (RSE) will be withdrawn. This was announced by the chairman of the Kazakhstan Agency on Regulating natural monopolies and protection of competitiveness on September 15 in Astana.
Nikolai Rodostovets said that jointly with the General Office of Public Prosecutor they were holding hearings to make constituent documents of RSE compliant with the President�s Decree dated September 7, 1999 �On regulation of state control and supervision functions� and with the government�s decree dated August 23, 1999 �Some issues of the state regulation and control for business activity in RK.�
According to Mr. Rodostovets, republican state enterprises, which received the functions of the state controlling and supervising organisations, are the same commercial organisations as others. The objective of their operations is to gain profit. However, at the same time these enterprises are authorised to prepare examination acts, to fine and even to lay economic sanctions on business structures. Many of these enterprises are competitors.
The principle of �honest competitiveness� between state enterprises and other subjects of the market relations is being infringed. Executing similar types of operations, state enterprises create obstacles to impede other economic subjects to enter the market. The fewer competitors, the higher price of their services is.
�Many people understood that it is easier to join RSE. Business �under protection� of RSE is especially attractive. First, RSE were established according to the decree of the government of RK. This is �protection� from many �failures� in business. Second, according to the President�s decree having a law force �On state the enterprise�, RSE are authorised to determine prices of their services. Third, each RSE has its �native� state body, which established the enterprise. RSE are under patronage of its administration. The enterprise is being helped to get orders, if there is a lack of works. The enterprise gets a new function, due to which the businessman has to pay additional money. RSE �help� the state organisation to pay transport charges. Repair of premises, purchase of furniture, office equipment, receiving of guests are also paid by RSE, as this is very important for its founder, when the budget financing is poor,� Mr. Rodostovets stated.
In fact, these actions do not differ much from extortion, he believes. That is why the Antimonopoly Agency proposed to approve the corresponding decree, which was signed on August 23.
During examinations of RSE�s activity, which were held jointly with the General Office of Public Prosecutor, they found out many facts when RSE had both control and supervision functions. Mr. Rodostovets gave the following example. The Committee on Standardisation, Metrology and Certification (CSMC) entitled RSEs �Metrology�, �Kazakhstan Centre on Standardisation, Metrology and Certification� and �State Centre on supervision of alcohol producers� to examine manufacturing conditions by compliance of qualification standards, and to execute the inspection control.
The Ministry of Internal Affairs of Kazakhstan entitled the RSE �Kuzet� to control the activity of military securities of all forms of property and any department. CSMC handed out its control functions to such RSEs as State Non-departmental Expertise of projects along with its subsidiaries �State Expertise�, State architectural-constructional inspection along with its subsidiaries �Gosarchstroiinspection�, and to �State Centre on supervision of alcohol producers�. The Ministry of State Revenues transferred its control functions to RSE �Kazalcocentre�, etc.
�According to requirements of the Law of RK �On struggle against corruption�, control and supervision are an exclusive prerogative of the government and other state organisations within the functions delegated to them in accordance with the legislation,� the chairman of the Agency emphasised.
In his opinion, charters of RSEs and other state enterprises should not include such functions as control for the activity of non-state organisations and formations, granting of licences for some types of activities, control for production and turnover of the goods, interaction with controlling organisations to prevent infringements of the law; control for observation of qualification requirements within the licensed period; inspection control for subjects of market relations; imposing an administration penalty; giving instructions and acts on examinations, and imposing economic sanctions.
According to Mr. Rodostovets, revenues gained by the enterprise from its operations, which are forbidden by the legislation, are to be withdrawn to the republican budget according to the decision of the authorised organisation or any other competent body. The next phase of the joint work of the Agency and the General Office of Public Prosecutor will be revealing of all cases of rendering exclusive services by state enterprises and economical entities of other forms of property. Illegal exclusives will be liquidated.
The Antimonopoly Agency also announced that the list of RSEs and municipal state enterprises, which would be included in the privatisation program to sell their property through open tender, was being prepared.
/IRBIS, Sep.16, 99/
The next trades with US dollar, Deutsche mark and Euro were held at KASE. 25 banks participated in the trades.
Today the trades were opened with the US dollar at 135.73 tenge per unit of the currency. The dollar plummeted down to the lowest level of the day - 135.67 tenge per unit of the currency as it soared to 135.75 at the very beginning of the session. At this level the sellers could boost exchange rate of an American currency a little using the demand, and then the parity between demand and supply were achieved at the trade floor. The second phase of the session went on within a price corridor of 135.69-135.70 tenge per dollar and was characterized by an equilibrium market. All demand was satisfied in this price range. Volume of deals made at 135.69-135.70 tenge per dollar totaled $13.9 mln.
Only at closing of the session the dollar exchange rate was corrected downward with fast backup to previous level. The session was closed at 135.70/71.
Only 180 deals were made with US dollars. The weighted average dollar exchange rate made 135.70 (+0.01). Trade volume of the session - $15.275 mln (-$780 mln). Exchange rate fluctuation during the trade was0.06%.
One hour after closing of the trades at over-the-counter market of Kazakhstan dollar was quoted at 135.73/83 tenge per unit of the currency.
Market conjuncture did not differ from that of yesterday. At the second part of the session high demand for dollar was completely neutralized by its supply, whereas exporters� earnings did not have much effect on exchange rate dynamics.
With Deutsche mark - 5 deals. Weighted average exchange rate - 72.26 (+0.31) tenge per unit of the currency. Trade volume - DEM25 thousand (-60 thousand). At closing of the session Deutsche mark was quoted at 72.25/34 tenge per unit of the currency.
With euro - 3 deals. Weighted average rate - 140.71 (-0.29) tenge for euro. Trade volume - EUR80 thousand (+70 thousand). At closing of the session euro was quoted at 140.65/141.40 tenge per unit of the currency.
ALMATY, Sept 15 (THE GLOBE)
�Participants of the conference admitted that the bank supervision departments of Kazakhstan work well and we had no failures, as the neighbouring countries had,� the head of the bank supervision department of the National Bank announced on Wednesday in Almaty speaking about the results of the meeting of the regional group.
According to Baurzhan Zhumagulov, at the conference, in which representatives of supervision organisations from CIS countries, Baltic states, Germany and Czech republic took part, issues regarding heightening of efficacy of supervision for banks with the participation of foreign capital, as well as general approaches and bank supervision policy were discussed.
It is known, that after the previous conference, which was held in May, 1998 in Almaty, there were abrupt changes in the world�s economy. These changes were caused by the sharpening crisis in the external financial markets.
Participants of the conference consider that now every country is to have a well-thought policy of the central bank regarding the access of foreign capital to the market of banking services. Countries should work out banking regulation procedures in respect to banks with the foreign participation.
In this regard, participants of the conference believe that the positive experience of Estonian colleagues is also worthy of attention. The paperless reporting technology was introduced in this country.
The head of the bank supervision department of NB stated that that the most dangerous situation might be caused not by bankruptcy of separate banks, but as that might lead to the crisis of the banking system.
In connection with this, the National Bank has recently withdrawn the licences of 6 second-level banks, which either did not publish in time or did not submitted their balance statements at all. The volume of the private capital of some of these banks did not comply with the standards stipulated by the national banks.
The next meeting of the heads of the regional bank supervision group will be held in Georgia. The chairman is changed on a �rotation� basis and works in this post for two years.
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