The legal basis for the limitation on foreign borrowing is ready

Dunya Executive - - BUSINESS -

Mehmet Simsek, Deputy Prime Minister in charge of economic affairs, said that the legal infrastructure for the restriction on borrowing in foreign currency for large corporations by is ready. Currently, data is being gathered from 2,118 companies for ongoing analysis and evaluation. In a televised discussion broadcast last week, Simsek gave information about limiting the borrowing in foreign currency which will be enacted in the coming days. “Our work on big companies is still going on,” he said. “This is actually a macro precautionary measure in the economy. We are going to be cautious. This will reduce important risks.”

He added that until now, the gov- ernment had hoped big companies could manage risks on their own, but they have not succeeded. “That is why we are intervening.”

Simsek gave the following information about the legal work: “The Central Bank has the authority at the moment. So we are preparing a team from the Central Bank and the Treasury. Currently we are collecting data on 2,118 big companies which hold 84 percent of the total foreign debt. The analyses and evaluations regarding these companies is in progress. We trust in our real sector in Turkey. It is enormously dynamic. They have created employment; they are making investments. We will continue to open the doors for them. But we are taking the necessary measures for them to better manage their risks.”

Newspapers in Turkish

Newspapers from Turkey

© PressReader. All rights reserved.