Due to the Russian sanctions and the outflow of tourists, the Turkish economy suffered new disasters, such as the inability of borrowers to repay their loans and increased the pressure on banks, leads RIA Novosti article published by Bloomberg.
“The situation in the banking sector of Turkey has continued to deteriorate. The number of non-performing loans increased to 3.18%, and this is the highest indicator over the past five years. Causes the next wave of challenges in the economy have become the damage from the Russian sanctions, currency devaluation and political instability in the country, resulting in an even greater reduction in the number of tourists”, – writes the edition.
2 months of this year “the volume of overdue loans in Turkey has increased by 514 million, an increase of 60% compared with the same period last year”, the Agency said. The growth of these indicators has affected the entire banking industry of the country.
“This trend will continue. Can’t say that the situation is out of control, however, the impact of Russian sanctions, the blow to the tourism industry, the rising cost of funding and weak currency will harm the corporate sector,” said Commerzbank credit analyst Apostolos Bantis.
