National Bank changes base rate

Tengrinews.kz — On Friday, October 23, the National Bank of Kazakhstan made a decision on the base rate. The rate was cut from 16.25 percent to 15.75 percent per year, with a corridor of +/- 1 percentage point, according to the National Bank’s official website.
Base rate: how the National Bank’s main tool works
The base rate is essentially the main “price of money” in the country, set by the National Bank.
It affects the interest rates at which commercial banks issue loans and accept deposits.
Here is how it works in simple terms:

The rate is raised: money becomes more “expensive.” Loan interest rates rise, making borrowing less attractive. At the same time, deposit rates increase, making saving more appealing. As a result, people spend less, businesses expand less, demand falls, and price growth, or inflation, begins to slow.
The rate is cut: money becomes “cheaper.” People are more willing to take out loans and spend more, while companies launch new projects. The economy becomes more active, but if the easing goes too far, prices may start rising again.

One important point is that this tool does not work instantly. The effects on household finances are typically felt only about a year to a year and a half after the National Bank’s decision.
How National Bank decisions affect the tenge exchange rate
By raising or lowering the base rate, the National Bank makes the national currency more or less attractive as a way to hold savings.
Here is how the foreign exchange market may react:

The rate is raised: tenge deposits become more profitable. People and businesses have a greater incentive to keep money in tenge accounts and earn higher interest instead of buying dollars. Demand for foreign currency declines, which can strengthen the tenge or at least slow its depreciation.
The rate is cut: returns on tenge deposits decline. If yields on tenge savings become too low, some people and companies may shift their savings into dollars or euros. This increases demand for foreign currency and puts pressure on the tenge.

At the same time, the base rate is not the only factor. The exchange rate is also strongly influenced by global oil prices, the overall inflation rate, seasonal demand for imports and conditions in the global economy.
From 18 to 16.25 percent: how the base rate changed in 2026
After a series of increases in 2025, when the rate rose from 15.25 percent at the beginning of the year to 18 percent by October, the regulator took an extended pause.

On January 23, 2026, the National Bank kept the rate unchanged at 18 percent per year, with a corridor of +/- 1 percentage point.
On March 6, the National Bank made another base rate decision and again kept it unchanged at 18 percent per year, with a corridor of +/- 1 percentage point.
On April 24, the National Bank of Kazakhstan made another base rate decision, leaving it unchanged.
On June 5, the National Bank cut the base rate for the first time in two years, from 18 to 17 percent per year.
On July 24, the rate was cut again from 17 percent to 16.75 percent per year.
On September 4, the National Bank cut the rate from 16.75 percent to 16.25 percent per year.

When is the next decision
The National Bank’s Monetary Policy Committee reviews the base rate eight times a year. The next decision will be made on December 4.
For more on what experts had predicted for the National Bank’s latest decision, read here.