Central Bank of Turkey provide unlimited liquidity to banks

Central Bank of Turkey will provide unlimited liquidity to banks to safe the financial stability in the country after the attempted military coup. Turkish media reported earlier that the bank has translated an extraordinary meeting to discuss the necessary measures. After a failed attempt to topple President Recep Tayyip Erdogan, the rate of the Turkish lira change from the current 2.87 liras per dollar crossed the threshold of 3 liras per dollar. Currently, a dollar is exchanged for 3.02 Turkish lira, officials said.

Moreover, after the meeting of the central bankers, the financial institution will take more measures to calm down the situation in the country. The Commission rate for the Intraday Liquidity Facility will be zero, as the banks will be allowed to place foreign exchange deposit as collateral without limits for needed Turkish lira liquidity. If needed, it would increase the current 50 billion USD foreign depot limit for banks.

Central Bank of Turkey will closely monitor all the depth and prices. All markets and systems (the Electronic Fund Transfer and the Electronic Security Transfer and Settlement systems) will be left open until final settlement of transactions.

more recommended stories