Turkish Central Bank raises reserve requirements for FX

Turkish Central Bank raises reserve requirements for FX

ANKARA-Anadolu Agenc
Turkish Central Bank raises reserve requirements for FX

The Central Bank of Turkey (CBRT) changed reserve requirement ratios to support financial stability on Aug. 5.

"Reserve requirement ratios for FX deposits/participation funds have been increased by 100 basis points for all maturity brackets, and the remuneration rate for US dollar-denominated required reserves, reserve options and free reserves held at the CBRT has been decreased by 100 basis points and set as 1%," it said in a statement.

The bank expects nearly $2.1 billion of FX liquidity withdrawn from the market as a result of the move.

Turkey, CBRT, reserves, FX liquidity