Turkey's Top Bad-Loan Buyer Sees Soured-Debt Sales Jumping 33%
- Hayat Varlik sees NPL sales jumping 33% this year from 2018
- Lira rebound may spur banks to shift loans under close watch
The lira’s crash in the second half of last year knocked the ability of companies to repay debt.
Photographer: Nicole Tung/BloombergThis article is for subscribers only.
Turkey’s biggest buyer of soured debt expects sales of non-performing loans to increase by 33 percent this year as banks free-up capital to cope with a surge in corporate-debt restructurings.
Lenders will probably sell about 10 billion liras ($1.9 billion) of bad-loan portfolios this year, Hayat Varlik Yonetim AS Chief Executive Officer Hilmi Guvenal said in an interview. Banks may receive up to 500 million liras this year from the sale of NPLs to asset managers such as Hayat Varlik, he said. There are 19 distressed-loan buyers in Turkey.