Decision of Central Bank of Turkey led to strengthening of lyre

Turkish Central Bank, in order to support the lyre without raising a key interest rate, banned financial organizations to lend to company lies that have large volumes of foreign currency. On this decision, Lyr is confidently getting more expensive on June 27, Bloomberg reports.

According to information, the couple dollar/Lyra Lyra on Monday, June 27, was traded at 16.7205 of the lyre compared to 16.8862 lyre for the closure of the previous session.

The Central Bank announced the measures of support for Lyra last Friday after the closure of the markets. Banks will not be able to issue loans in liras to corporate borrowers, the amount of foreign currency in the accounts of which exceeds 15 million lires (about $ 900 thousand) and exceeds 10% of the total assets or annual sales of the company. In total, the new rule will affect about 10 thousand companies, since it contains a number of exceptions, the source of Bloomberg notes.

Such a decision of the regulator is expected to force companies to sell foreign currency in order to gain access to new loans in liras.