Turkish Current-Account Deficit Biggest 2012 Risk, Anatolia Says

Turkey’s biggest risk in 2012 will be financing its current-account deficit, not slowing growth, according to Ergun Ozen, chief executive of Turkiye Garanti Bankasi AS (GARAN), the state-run Anatolia news agency said.

Financial resources will decrease due to Europe’s debt crisis, Anatolia cited Ergun as saying.

Turkish banks will struggle to maintain profitability in 2012 after government and central bank moves to slow credit growth, raise reserve ratio requirements and cap fees and commissions on some banking products, Ergun said, according to Anatolia.

Turkey has 125 bank branches per one million citizens compared with a euro zone average of 560 branches per million, Ergun was quoted as saying.

To contact the reporter on this story: Benjamin Harvey in Istanbul at bharvey11@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.