Turkey bank will increase financial support to Treasury – columnist
Turkey’s central bank will provide more funding for the Treasury next year, according to Alaattin Aktaş, a columnist for Dünya newspaper.
The central bank said in a report on Thursday that it had set the value of its open market operations portfolio at 5 percent of the total analytical balance sheet. That nominal value was set at 18.9 billion liras ($3.3 billion) last year but the bank has expressed it in percentage terms this year, meaning the total will increase to 31.5 billion liras because the balance sheet is estimated at 630 billion liras, Aktaş said on Friday.
Turkey’s central bank transferred tens of billions of liras in emergency funds to the Treasury last year as the government increased spending in the budget to help revive an economy that had slumped into recession.
The amount of the funding to the Treasury may increase should the central bank’s balance sheet do so as well, Aktaş said.