Turkey Is Said to Advise Banks Against Distributing Dividends

Source:Bloomberg Date:23Jan2022

Turkey’s banking regulator has advised commercial lenders not to distribute dividends from profits in 2021, when a currency crash eroded banks’ cash buffers, people with direct knowledge of the matter said.

The regulator, known as BDDK, passed its recommendation to the lenders via Turkey’s banking association, but has yet to send a formal, written notice banning dividend payments, according to the people, who asked not to be named due to the sensitivity of the matter.