Banks may introduce ‘eurolira’ bonds soon

ISTANBUL - Hürriyet Daily News

Local banks prepares for new eurobonds that are denominated in Turkish Lira. Hürriyet photo

Turkish banks are preparing to issue Turkish Lira eurobonds, as confidence in the country increased in November thanks to the rating upgrade by Fitch, daily Milliyet has reported.

“This will be a first for the Turkish banking system,” the newspaper quoted Erdal Aral, vice general manager of İşbank, as saying during a conference in Vienna.

İşbank has already been granted the authorization for lira eurobonds by the local banking regulator BDDK, Aral said.

The investors that the lender has communicated with say they are ready to take risks in lira, he added.
A rating upgrade by Fitch, marking Turkey’s first “investment” grade since 1994, has helped increase confidence in the local market.