The National Bank of Kazakhstan establishes and publishes official (market) exchange rates for foreign currencies on a daily basis. These values are not an abstract reference for exchange offices, but rather the basic data relied upon by accounting, tax accounting, and calculations for foreign economic operations in the country.
What is happening
The National Bank forms official (market) exchange rates for each working day. The publication is updated regularly, and these quotes are considered reference rates for converting foreign currency into tenge. Essentially, the official rate reflects the market situation and serves as a single point of reference for organizations and individuals who need to fix the value of currency on a specific date.
It is important to understand the difference between the official rate and the buying-selling rate at an exchange point or bank. The official rate is primarily used for accounting and calculations, while commercial rates at cash desks may differ because they include the margin of the specific financial institution.
Who is affected
Official rates are important for a wide range of participants:
- Accountants and financiers — rates are used for converting foreign currency transactions into tenge in accounting.
- Importing and exporting companies — contracts, customs, and tax documents are drawn up based on official values.
- VAT payers — the rate is used when calculating the tax base for transactions in foreign currency.
- Organizations with foreign currency assets and liabilities — exchange rate differences are calculated based on the rate.
- Citizens — the official rate serves as a guideline when planning large purchases, assessing foreign currency savings, and understanding the overall market situation.
What official rates are used for
The scope of using the National Bank's rates covers several key tasks:
Accounting. All transactions in foreign currency are reflected in reports in tenge, and the conversion is performed at the official rate on the relevant date.
VAT calculation. In transactions expressed in foreign currency, the tax base is converted into the national currency at the established rate.
Exchange rate differences. When the value of foreign currency assets or liabilities changes due to fluctuations in the rate, a positive or negative exchange rate difference arises, which needs to be accurately reflected in accounting.
This is why the correct fixation of the rate on the required date directly affects the reliability of reporting and the accuracy of tax calculations.
What businesses and citizens should do
To work with official rates without errors, follow a few practical rules:
1. Use the rate for the correct date. For each transaction, it is important to use the value that is valid on the day to which the transaction relates.
2. Rely on the primary source. The most reliable option is the data from the National Bank itself, rather than derived tables on third-party resources.
3. Separate official and commercial rates. For accounting, use the official rate, while the cost of actual currency purchases or sales should be clarified with your bank.
4. Document the source and date. When preparing documents, keep information about the date the rate was taken — this simplifies audits and reconciliations.
5. Automate the conversion. If there are many transactions, set up the export of rates into the accounting system to reduce the risk of manual errors.
Timelines and frequency
Official rates are established for each working day. This means that for transactions that fall on weekends or holidays, the rate valid on the nearest corresponding date according to accounting rules is usually applied. Since values are updated daily, the habit of checking the current publication before preparing documents helps avoid discrepancies.
Frequently asked questions
How does the official rate differ from the rate at an exchange office? — The official rate is set by the National Bank and is used for accounting and calculations; the rate at an exchange point or bank is commercial and may differ due to the margin.
How often are official rates updated? — Rates are published for each working day, so before conducting a currency transaction, it is advisable to check the current value.
What rate should be used to calculate VAT for a currency transaction? — The tax base is converted into tenge at the official rate applicable on the relevant date of the transaction.
What is an exchange rate difference? — It is the result of changes in the value of foreign currency assets or liabilities due to rate fluctuations; it can be positive or negative and is reflected in accounting.
Where can reliable rate data be obtained? — The most credible source is the publications of the National Bank of Kazakhstan itself, rather than derived tables on third-party websites.