Click to read the article in Turkish
International credit rating agency Fitch announced that it placed 25 banks in Turkey on Rating Watch Negative (RWN).
In the press release published on the official website of the Fitch on June 1, it was emphasized that the decision of the agency regarding Turkey's 25 banks "reflects risks to their performance, asset quality, capitalisation and, in most cases, liquidity and funding profiles."
While it is expected that he Rating Watch Negatives will be resolved in the next six months, Fitch also stated, "Unless there is further marked worsening of economic and financial market conditions, any downgrades are likely to be limited to one notch."
Bad news from Moody's as well
Another international credit rating agency Moody's also announced that it placed Turkey's credit rating on review for downgrade.
In the statement published on the official website of the agency on June 1, it was stated that the decision of the agency to place the current rating under review "reflects mounting uncertainty regarding the future direction of macroeconomic policy."
Emphasizing "the already vulnerable external position" of Turkey, Moody's also added that in case this context of vulnerability is sustained, "that will raise the risk of severe pressures on Turkey's balance of payments to a level that is no longer consistent with the current rating."
On March 8, 2018, Moody's lowered Turkey's credit rating to Ba2 from Ba1 and changed its outlook from "negative" to "stable".
Moody's placed 17 banks on watch negative in 2016
In the period after July 15, 2016 coup attempt, Moody's placed Turkey's credit rating on review for downgrade and placed 17 banks in Turkey on rating watch negative. (HK/SD)
Related bianet News
Moody’s Lowers Turkey’s Growth Forecast 30 May 2018International credit rating agency Moody’s has lowered Turkey’s growth forecast for 2018 from ...
Moody’s Downgrades Turkey, Underlines Erosion of Institutional Strength 08 March 2018Credit rating agency Moody’s has lowered Turkey’s credit rating to Ba2 from Ba1. ...
Most Read Today
PROF. DR. ŞEBNEM KORUR-FİNCANCI: 'Vefa Kartal Taken from Hospital to Prison is Vulnerable to Infection' 15 October 2018
Attack on Amedspor in Sakarya 15 October 2018
5 Journalists Detained in Diyarbakır Released 15 October 2018
88 Thousand More People Unemployed in July 15 October 2018