New steps to support the Turkish lira

The Central Bank of the Republic of Türkiye (CBRT) has made changes to reserve requirements to support the transition to the Turkish lira.

According to a written statement from the Central Bank regarding the matter, reserve requirement ratios for foreign currency deposits have been increased by 200 basis points across all maturities. The reserve requirement ratio for funds obtained from repo transactions in foreign currency with domestic residents with maturities of up to 1 year has been increased by 400 basis points, and the calculation method has been modified.

For banks where the share of corporate TL deposits is below 60 percent, a monthly increase target of 0.3 percentage points has been introduced for the relevant share. It has been decided that interest or compensation payments will be made on reserve requirements established for TL deposits at a rate of 86 percent, instead of 84 percent, of the CBRT weighted average funding cost.

In accordance with the decision of the Ministry of Treasury and Finance, with the change made to the Export Circular, it has been decided that the minimum sale rate of export proceeds to the Central Bank of the Republic of Türkiye will be applied as 35 percent until July 31, 2025.

Within the scope of the practice of supporting the conversion of companies' export proceeds in foreign currency into TL, the foreign currency conversion support rate has been increased to 3 percent until July 31, 2025.

News Source: İHA