Wednesday, Sep 30

Turkish banks post nearly 6 billion net profit in January-July

According to banking watchdog, total assets of the banking sector up 34.7% as of end-July compared to the same period.
01.09.2020 - 17:02

Turkey’s banking sector registered a net profit of 39 billion Turkish liras ($5.6 billion) as of the end of July, the country's banking watchdog said Tuesday.

DEPOSITS TOTALED NEARLY 3.2 TRILLION TURKISH LIRAS

Total assets of the sector hit 5.6 trillion Turkish liras ($809 billion), up 34.7% from the same period last year, a report by the Banking Regulation and Supervision Agency (BRSA) said. Loans, the biggest sub-category of assets, surged 35.7% year-on-year to 3.4 trillion Turkish liras ($486.5 billion) in the seven-month period.

On the liabilities side, deposits held at lenders in Turkey – the largest liabilities item – totaled nearly 3.2 trillion Turkish liras ($462.5 billion), up 42% on an annual basis.

Pointing to lenders' minimum capital requirements, the banking sector's regulatory capital-to-risk-weighted-assets ratio – the higher the better – was 19.21% by the end of the month, versus 18.19% in the same period of the previous year.

The ratio of non-performing loans to total cash loans – the lower the better – stood at 4.25% in the same period, versus 4.57% a year ago.

As of end-July, a total of 52 state/private/foreign lenders – including deposit banks, participation banks, and development and investment banks – operated in the Turkish banking sector.