Turkey’s central bank launched new measures on Saturday aimed at tackling credit availability including ensuring higher reserve availability for lenders’ requirements, days after it shocked markets with a 100 basis point interest rate cut.
Sharjah 24 – Archyde.com:
Turkey’s central bank unveiled new measures on Saturday aimed at addressing the availability of credit, including ensuring a higher reserve availability for lenders’ requirements, days after it shocked markets by cutting the interest rate by 100 basis points, to 13%.
He said that these steps aim to support financial stability and enhance the cash transfer mechanism, after he pointed out the need to address the growing gap between the interest rate and lending rates when he cut interest rates on Thursday.
Turkish authorities, including the central bank and the Banking Regulation and Supervision Agency, have previously taken steps to limit loans to companies except those whose exports are worth more than their imports, as part of an economic plan that seeks to turn a large current account deficit into a surplus.