Identifier
Created
Classification
Origin
09ASTANA296
2009-02-19 10:29:00
UNCLASSIFIED
Embassy Astana
Cable title:
KAZAKHSTAN: ALMATY NOTES, JANUARY 31 - FEBRUARY 13
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UNCLAS ASTANA 000296
SIPDIS
STATE FOR SCA/CEN, DRL
E.O. 12958: N/A
TAGS: PGOV PHUM ECON SOCI KDEM KZ
SUBJECT: KAZAKHSTAN: ALMATY NOTES, JANUARY 31 - FEBRUARY 13
UNCLAS ASTANA 000296
SIPDIS
STATE FOR SCA/CEN, DRL
E.O. 12958: N/A
TAGS: PGOV PHUM ECON SOCI KDEM KZ
SUBJECT: KAZAKHSTAN: ALMATY NOTES, JANUARY 31 - FEBRUARY 13
1. The "Almaty Notes" series from U.S. Office Almaty focuses on
developments in civil society, the media, and the opposition in
Kazakhstan's "southern capital."
OPPOSITION-ORIENTED ECONOMISTS CRITICIZE DEVALUATION
2. The devaluation of Kazakhstan's national currency, the tenge,
dominated the news in Almaty. Two opposition-oriented economists
reacted critically to the devaluation. Economist and Azat party
deputy head Peter Svoik called it a "mixture of objective necessity
and subjective stupidity". Economic analyst Oraz Zhandosov, who was
previously co-chairman of Azat, called the decision "incompetent"
and expressed doubts that the National Bank will be able to support
the tenge within its new trading band of around 150 tenge to the
dollar.
MAYOR STRATEGIZES ON KEEPING PRICES STABLE
3. Almaty Akim (Mayor) Akhmetzhan Yesimov held an extra-ordinary
city administration meeting on February 5 to discuss measures to
prevent prices from rising following the tenge's devaluation. Law
enforcement bodies were ordered to shut down any exchange booths
offering exchange rates better than the official National Bank rate.
Large producers of food products and basic consumer necessities
reported that they did not plan to raise their prices. The Akim's
office set up a special commission -- which includes city officials,
civil society activists, and representatives of the ruling Nur Otan
party -- to travel around the city and monitor the prices of food,
medicine, and consumer goods. Several Nur Otan representatives
visited Almaty's central market on February 10 and reported that
prices did go up, but not drastically.
OPPOSITON PARTIES DEMAND THE GOVERNMENT'S RESIGNATION
4. The opposition Azat party publicly demanded the resignation of
Prime Minister Masimov and the dissolution of the parliament for
mismanaging the economy. Azat head Bulat Abilov accused the
government of pursuing "inadequate and incomprehensible" economic
policies. The opposition National Social Democratic Party (OSDP)
backed Azat's demands. OSDP leader Zharmakhan Tuyakbay called for
early elections this year, but added, somewhat incongruously, that
OSDP would not participate because of its objections to the
recently-adopted amendments to the election law.
OFFICERS FINALLY GET APARTMENTS
5. Members of the "BOMZh" movement of retired military officers,
who have been battling with the Ministry of Defense for over two
years, finally received free apartments owed to them. Most of the
officers received apartments in Almaty. (NOTE: "BOMZh" is a
Russian acronym meaning "without specific place of residence," which
is used to refer to homeless persons. END NOTE.)
ACTIVISTS STOP HUNGER STRIKE
6. On February 2, activists from the "Leave the Houses to the
People" movement decided to terminate their hunger strike to give
the government a chance to respond to their demands. According to
movement leader Aynur Kurmanov, the group is demanding that the
government take steps to help those who can not make their mortgage
payments, including lowering interest rates, granting temporary
moratoriums on mortgage payments, and buying out bad mortgages. The
activists will resume their hunger strike should the government not
respond adequately to their demands by March 2.
HOAGLAND
SIPDIS
STATE FOR SCA/CEN, DRL
E.O. 12958: N/A
TAGS: PGOV PHUM ECON SOCI KDEM KZ
SUBJECT: KAZAKHSTAN: ALMATY NOTES, JANUARY 31 - FEBRUARY 13
1. The "Almaty Notes" series from U.S. Office Almaty focuses on
developments in civil society, the media, and the opposition in
Kazakhstan's "southern capital."
OPPOSITION-ORIENTED ECONOMISTS CRITICIZE DEVALUATION
2. The devaluation of Kazakhstan's national currency, the tenge,
dominated the news in Almaty. Two opposition-oriented economists
reacted critically to the devaluation. Economist and Azat party
deputy head Peter Svoik called it a "mixture of objective necessity
and subjective stupidity". Economic analyst Oraz Zhandosov, who was
previously co-chairman of Azat, called the decision "incompetent"
and expressed doubts that the National Bank will be able to support
the tenge within its new trading band of around 150 tenge to the
dollar.
MAYOR STRATEGIZES ON KEEPING PRICES STABLE
3. Almaty Akim (Mayor) Akhmetzhan Yesimov held an extra-ordinary
city administration meeting on February 5 to discuss measures to
prevent prices from rising following the tenge's devaluation. Law
enforcement bodies were ordered to shut down any exchange booths
offering exchange rates better than the official National Bank rate.
Large producers of food products and basic consumer necessities
reported that they did not plan to raise their prices. The Akim's
office set up a special commission -- which includes city officials,
civil society activists, and representatives of the ruling Nur Otan
party -- to travel around the city and monitor the prices of food,
medicine, and consumer goods. Several Nur Otan representatives
visited Almaty's central market on February 10 and reported that
prices did go up, but not drastically.
OPPOSITON PARTIES DEMAND THE GOVERNMENT'S RESIGNATION
4. The opposition Azat party publicly demanded the resignation of
Prime Minister Masimov and the dissolution of the parliament for
mismanaging the economy. Azat head Bulat Abilov accused the
government of pursuing "inadequate and incomprehensible" economic
policies. The opposition National Social Democratic Party (OSDP)
backed Azat's demands. OSDP leader Zharmakhan Tuyakbay called for
early elections this year, but added, somewhat incongruously, that
OSDP would not participate because of its objections to the
recently-adopted amendments to the election law.
OFFICERS FINALLY GET APARTMENTS
5. Members of the "BOMZh" movement of retired military officers,
who have been battling with the Ministry of Defense for over two
years, finally received free apartments owed to them. Most of the
officers received apartments in Almaty. (NOTE: "BOMZh" is a
Russian acronym meaning "without specific place of residence," which
is used to refer to homeless persons. END NOTE.)
ACTIVISTS STOP HUNGER STRIKE
6. On February 2, activists from the "Leave the Houses to the
People" movement decided to terminate their hunger strike to give
the government a chance to respond to their demands. According to
movement leader Aynur Kurmanov, the group is demanding that the
government take steps to help those who can not make their mortgage
payments, including lowering interest rates, granting temporary
moratoriums on mortgage payments, and buying out bad mortgages. The
activists will resume their hunger strike should the government not
respond adequately to their demands by March 2.
HOAGLAND