Turkey’s central bank to introduce interest payments for lira-required reserves

ANKARA, Feb 5 (Reuters) – Turkey’s central bank said
early on early Monday that it will introduce interest payments
on required reserves involving lira and FX-protected lira
deposits with maturities of more than one month.

In a statement, the bank said that it aims to strengthen the
monetary transmission mechanism and to increase the share of
Turkish lira deposits with this step.

The move came after Fatih Karahan was appointed as the new
central bank governor following the resignation of Hafize Gaye
Erkan.
(Reporting by Nevzat Devranoglu and Huseyin Hayatsever; Editing
by Lisa Shumaker)