Turkey is said to be in the final stages of talks with Qatar for up to $10bn in funding via a swap, eurobond or any other method, as per sources. Of this amount, up to $3bn in funding could take place by end-2022. A source said that the an “amount of $8 billion is foreseen”, while another said that said the talks for $2-3bn in funding by year end were focused on the eurobond. The funding would help boost Turkey’s forex reserves amid the central bank’s policy of cutting rates despite high inflation and a depreciating currency. Reuters notes that Turkey’s central bank, the CBRT already had a swap deal worth $5bn with Qatar’s central bank but that was tripled in 2020 to $15bn. Turkey is also in the final stages of talks with Saudi Arabia regarding the latter’s planned $5bn deposit with the CBRT.
Turkey’s dollar bonds were stable – its 6.125% 2028s were at 88.78, yielding 8.59%.
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