The Kyrgyz Stock Exchange (KFB) has announced the expansion of its services, including the organization of auctions for placing funds in deposits at commercial banks and microfinance institutions, according to information from the exchange's press service.
As part of this process, a meeting was held today with representatives of private pension funds, insurance companies, development funds, and state-owned organizations. Participants were provided with complete information about the new auction mechanism, as well as the opportunities to initiate such auctions and invest their funds in bank deposits through the KFB platform.
"KFB already has positive experience in conducting such auctions. For example, the Ministry of Finance of the Kyrgyz Republic placed 24 billion soms in banks through the electronic platform of the exchange. The auction consisted of three lots with terms ranging from 12 to 36 months, and 12 banks in the country participated. The auction initiator sets the interest rate themselves and chooses the credit organization that offers the most favorable conditions. This makes auctions an effective tool for quickly placing funds and attracting deposits on the best terms," commented Aida Chodulova, acting general director of KFB.
It is important to note that only those organizations that have a valid license from the National Bank of the Kyrgyz Republic, have been operating profitably for at least two years, possess an external audit conclusion, and have no tax debts or other obligations are allowed to participate in the auctions.
