Page 25 - bne_newspaper_May_25_2018

Weekly Lists
May 25, 2018 www.intellinews.com I Page 25
bne:Credit
Banks reportedly support plan to resolve Turkey’s biggest default centred on Turk Telecom
Armenian revolution had minimal economic impact, Fitch says
Banks that provided a $4.75bn loan to the owner of Turk Telekomunikasyon AS are backing a proposal that would settle Turkey’s biggest default, people with knowledge of the matter told Bloomberg on May 22.
Under the plan proposed by an advisory group for the lenders, creditors would obtain control of Ojer Telekomunikasyon AS (Otas), which took out the loan, through a special purpose vehicle, they reportedly added.
Previously, there had been a year-long impasse between creditors and Turk Telekom.
The velvet revolution in Armenia that saw the ousting of long-ruling Serzh Sargsyan and his replacement by opposition leader as prime minister Nikol Pashninian had a minimal impact on the economy, according to a new report from Fitch Ratings.
The international rating agency attributes the lack of economic damage to the “continued smooth functioning” of economic insti- tutions such as the central bank. While warning it is unclear how long the current honeymoon period will last in the impoverished country and acknowledging that domestic political uncertainty “has not been fully dispelled”, Fitch analysts say they anticipate “broad economic policy continuity”.
“Economic disruption from the transition appears to have been minimal. The financial sector did not see destabilising pressure on bank liquidity or deposits, while international reserves remain at prudent levels,” Fitch’s May 17 note says.
World Bank Group president Jim Yong Kim met with Uzbek President Shavkat Mirziyoyev on May 17 and signed loan agreements worth $940mn for four new projects in Uzbekistan with a focus on energy efficiency, horticulture, and emergency medical services.
The meeting took place on the margins of Mirziyovev’s first official visit to the US.The new loan deals are part of US$2.8bn in World Bank projects under implementation “supporting transportation, education, agriculture, irrigation and water supply and sanitation services aimed at boosting economic growth and improving living standards,” the World Bank said in a statement.
Uzbek president meets with World Bank president and signs $940mn in loan agreements