Turkish Central Bank raises reserve requirement ratios

ISTANBUL

The Turkish Central Bank raised reserve requirement ratios for foreign currency and precious metal deposit accounts Tuesday.

Announcing the move in the Official Gazette, the bank increased the ratio by 200 basis points for all such accounts.

Following the decision, the ratio reached 25% for foreign currency deposit accounts — demand, notice and up to one-year maturity — and 19% for foreign currency accounts with a maturity of one year or more.

The ratios became 26% and 22% for precious metal deposit accounts with a maturity of up to one year or more than one year, respectively.

The ratio for borrower funds of investment banks also reached 25%.