The Banking Regulation and Supervision Agency announced the new conditions for Turkish lira commercial loans.
According to the new regulation of the BRSA, companies whose foreign currency assets do not exceed 15 million TL will be able to use loans. Companies with foreign currency cash of more than 15 million TL will not be able to use commercial loans if this asset exceeds 10% of the sales revenue.
The statement made by the BRSA is as follows:
“For companies that are obliged to prepare consolidated financial statements within the framework of accounting and financial reporting standards published by the Public Oversight, Accounting and Auditing Standards Authority, it has been decided to make this assessment over the consolidated balance sheets.
As an exception to this rule, the independent audit authorized by the Public Oversight, Accounting and Auditing Standards Authority, has determined that there is a foreign currency net position deficit within 3 months from the date of the loan application of these companies to the bank, limited to companies that cannot use foreign currency loans in accordance with the relevant legislation. It has been decided that these companies will be able to extend cash commercial loans in TL only for the 3 months following the application date, limited to the position gap determined, provided that they are determined by the institutions according to the examination to be made on the most up-to-date financial statements and apply to the bank with the documents approved by these institutions.
Companies whose foreign currency cash assets do not exceed TL 15 million, as of the loan application date, have to have their current foreign currency cash assets and their total assets and net sales revenue of the last 1 year determined by the independent audit firm according to the most up-to-date financial statements. In order for companies to declare and undertake that the TL equivalent of their cash cash assets will not exceed 15 million TL, and to ensure that the said declaration and commitment is controlled by the bank, within the first 10 working days of each month, according to the previous month-end balance sheet, the companies’ foreign currency cash assets, total assets and the previous As of the end of the month, it has been decided to exempt them from this application on the condition that they convey the current value of the last 12 months’ net sales proceeds to the bank, and within the scope of this application, the Turkish Republic Central Bank’s foreign exchange buying rate of the calculation date shall be used in calculating the TL equivalent of foreign currency cash assets.”
After this regulation by the BRSA, the dollar rate declined to the level of 16.50.
