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tapped $1bn from local lenders in 3-month swap.
According to @VeFinans, a prominent Twitter account which provides reliable data and analysis on the Turkish banking industry and macroeconomy, local lenders have four options to comply with the latest regulation:
i. With liquid assets (cash + deposits at foreign banks + free eurobonds)
ii. With assets in the reserve option mechanism
iii. With swaps with the central bank
iv. Borrowing FX abroad (shareholders?)
The central bank has ​bought​ 148 tonnes of gold in the January-May period​. It makes the Turkish central bank the largest gold buyer in the world.
5.2​ FDI
Volkswagen ​made​ it clear it now saw no point in building a new factory in Turkey or in a nearby country, saying that the steep drop in demand for cars worldwide caused by the effects of the coronavirus pandemic meant the manufacturing capacity was no longer needed.
Hassad Food, a wholly owned subsidiary of Qatar Investment Authority, acquired​ a minority stake in Sunrise Food, owned by Turkish food company Tiryaki Argo. The financial details of the agreement have not been disclosed (See Section 9.2.6).
Is Bankasi, one of Turkey’s largest private banks, is ​poised​ to acquire Moka Odeme, a local payment systems company, for a total consideration of $3.8mn.
Romania’s biggest lender by assets, Banca Transilvania, is reportedly close to reaching a deal to acquire Garanti Bank Romania, the tenth-largest bank in the country, which is up for sale, ​according​ to Economica.net.
Major M&As in Turkey
Date
Sold
Stake
Price
Buyer
Seller
Jul-20
Moka Odeme
100%
$3.8mn
Isbank
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33​ TURKEY Country Report​ August 2020 ​ ​www.intellinews.com