Turkey Asks Banks to Buy Dollar Bonds as Market Pressure Mounts
- Officials called some banks on Monday asking them to buy
- Dollar bonds, CDS have been under pressure since May 14 vote
Pedestrians pass by a mural of Turkish President Recep Erdogan in Bursa, Turkey, on Thursday, May 18, 2023.
Photographer: Moe Zoyari/BloombergThis article is for subscribers only.
Turkey’s central bank asked some local lenders this week to step in and buy the country’s dollar bonds, the latest effort to provide a backstop to private markets as pressure builds before a presidential runoff election on Sunday.
Officials called some of the country’s banks on Monday and asked them to buy dollar bonds across multiple maturities in secondary markets, according to people familiar with the matter, who asked not to be named because they aren’t authorized to speak publicly. The central bank declined to comment.