Shares in state-owned Halkbank, Turkey’s sixth largest lender by assets, plunged on March 29 on the news that one of its top executives had been detained in the US on charges of helping Iran evade international sanctions.
The lender's share price fell by as much as 14.26% - the biggest daily decline ever seen by Halkbank - on March 29 to trade at TRY10.34 at the close, erasing TRY2.15bn (€548mn) from the bank's market value. The index tracking banking stocks was down 2.06% while the broader main stock exchange index, the BIST-100, dropped 1.01%.
The lira was trading at 3.6484 per dollar at 7:00am Istanbul time compared to 3.6458 at the end of trading on March 28.
Turkish officials plan to discuss the arrest of the banker with US Secretary of State Rex Tillerson who is expected to arrive in Ankara on March 30 for talks on Syria and other regional security issues.
It remains to be seen whether US authorities will launch probes into other executives of Halkbank or other Turkish entities over Iran sanctions.
Cash-strapped Belarus has successfully placed $1.4bn dual-tranche US-dollar-denominated Eurobonds with five-year and ten-year maturities, Reuters reported on June 22, citing unnamed financal sources. ... more
Ratings agency Standard & Poor's (S&P) downgraded Azerbaijani Muganbank's credit ratings from 'B-/B' to 'CCC+/C' with a negative outlook on June 21. In its report, the agency justified its ... more
The European Bank for Reconstruction and Development (EBRD) has increased its share in Azerbaijan's default-threatened Unibank from 12.15% to 21.9% while the German Investment Corporation (KfW DEG) ... more