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Moody's Sees Turkey Problem Loan Ratio Manageable in 2021

TURKEY
  • Lower loan growth following regulatory changes and expected withdrawal of forbearance in June will likely cause problem loans to rise in 2021, but will remain at moderate levels in 2021
  • Says loan growth flatters problem loan ratios
  • Capital slightly down but remains adequate
  • Expects the seven largest banks "to restore their capital to pre-crisis levels in 2021 given their internal capital generation capacity and lower loan growth, provided the lira does not depreciate sharply"
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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