TL credit period is over, industrialists are helpless

your options While the fluctuations in the markets increased with the second round, the financial problems that have been going on for the last year brought business to zero on the industrial front. When the latest Central Bank (CBRT) regulations combined with the process of uncertainty on the business side, banks turned off the credit taps with TL and brought the option of high-interest foreign currency loans to industrialists.

NO ONE CAN SEE AHEAD

Turkish Union of Chambers and Commodity Exchanges (TOBB) Assembly of Garment and Garment Sector Assembly Chairman Şeref Fayat stated that credit crunch became a big problem with the uncertainty of the second round and said: “Banks do not provide TL Loans, especially before the second round. If you want foreign currency, interest rates in the band of 10-11 percent. We can’t find a TL loan even with interest rates of 40-50 percent,” he said.

Fayat affirmed that the industrialists have had credit problems for a long time and that they can only use loans with market interest rates of up to 50 percent, and that the problem has deepened with the second round of the elections. Noting that the banks were unable to calculate the costs of the loans due to uncertainty, Fayat continued as follows: “If you have a lot of credibility, if you are a net exporter, there is almost no adequate financing, except for TL rediscount loans. . Banks do not provide TL loans before the second round. Because they don’t know the cost, they don’t want to give loans even at 40-50% interest. If you are an exporter, if you don’t use TL rediscount credit, you have to use foreign currency credit in the 10-11 percent band.” Fayat said that with the second round, uncertainty makes vision of the future and cash flow difficult for both financial institutions and companies, and pointed out that no matter who gets to the economic management, there will be a return to traditional economic policies in the new period. .

The movement of money in the market is close to zero

Pointing out that there is no such thing as credit in the market with the first round of elections, President of the Turkish Garment Manufacturers Association Ramazan Kaya said: “The credit taps are completely turned off. There was also the issue of dual currency from last week. The scissors opened very seriously. Because of this, things are very stagnant, the movement of money in the market is close to zero. With the credit taps closed, everyone is locked in a second round. The banks are in favor of recovering their accounts receivable. Because of the uncertainty, everyone thinks that interest rates will rise. Even if you give 40-50 percent interest, the money cannot be reached, ”he said.