Government Securities of the Kyrgyz Republic and Notes of the National Bank  

The following types of securities represent the market of Government securities of the Kyrgyz Republic:  

· STBills - State Treasury Bills   

· STBonds - State Treasury Bonds  

STBills are short-term (3, 6, 12 months) discount government securities of the Kyrgyz Republic. The par value of 1 STBill equal to 100 Soms. STBills are issued in non-documentary form as records on accounts.  

STBonds are the long-term (above 1 year) coupon Government securities of the Kyrgyz Republic. The par value of 1 STBond and the parameters of the issue are determined by the issuer (Ministry of Finance of the Kyrgyz Republic) at the time of issue. STBonds can be issued in non-documentary and documentary forms.  

The issuer of STBills and STBonds is the Ministry of Finance of the Kyrgyz Republic. The National Bank serves as a financial agent for government securities issuance. The issuance of government securities is carried out weekly through auctions conducted by the National bank. Direct participants (commercial banks, institutional investors and Closed joint stock company «Central Depository»), have the right to participate on government securities auctions through Automated Trading System directly. The owners of government securities of the Kyrgyz Republic can be both legal entities and individuals (residents and non-residents). 

Access for foreign investors to the government securities market is not limited. Investors can purchase government securities through Direct Participants (commercial banks) at auction (at their initial placement), or on the secondary market. Transactions in the government securities secondary market are conducted through the Automated Trading System of the National bank that allows the Direct participants and their clients to carry out operations for the purchase / sale of government securities from their offices. The National Bank performs functions of a Depository for Government Securities.  

The National Bank is not responsible for the STBills and STBonds. 

Notes of the National Bank  

National bank Notes are short-term discount securities, which are issued by the National bank in non-documentary form. National bank Notes are monetary policy instrument designated to absorb excess liquidity from the market.  

The par value of one note is 10 000 Soms. Notes are issued for a period of 7 to 364 days and are placed at a discount, and are redeemed at par value. Placement of notes is carried out at weekly auctions. Direct participants (commercial banks and institutional investors) have the right to participate in auctions. 

The Government of the Kyrgyz Republic is not responsible for the National bank Notes.