Central Bank makes changes to reserve requirements

The Central Bank has made changes to reserve requirements.

In a statement regarding the matter, the Central Bank said, “The Central Bank of the Republic of Turkey has made changes to the reserve requirement practice based on credit growth in order to ensure that credit growth and composition follow a path consistent with the disinflation process.

In this direction, the monthly growth limit for foreign currency commercial loans has been reduced from 1.5 percent to 1 percent,” the statement read.

Furthermore, the monthly growth limit for Turkish Lira commercial loans has been set at 2.5 percent for SME loans and 1.5 percent for other commercial loans.

It was decided that Turkish Lira loans extended to SMEs within the scope of sustainability, either with KOSGEB support or with resources provided by international development finance institutions, will be exempted from the credit growth limit.

News Source: 12punto