Turkey to ease Basel effect for banks weighed down by domestic rules

Istanbul

TURKEY is working out how it can reduce the burden of Basel III requirements on banks already protesting against a two-year barrage of regulation that's squeezed profits and prompted outcries from the country's biggest lenders.

The banking regulator is going to take steps to relieve the impact of Basel III rules, Anadolu Agency reported on Monday, citing comments by the head of the watchdog. According to drafts published last week, the regulator will cut risk weightings on mortgage lending from 50 to 35 per cent, with further steps planned.