Business

TBB 10 percent dividend declaration

The Turkish Banking Association (TBB) said in a statement regarding the profit distribution of banks, “as in international practice, the cautious rate allows redistribution of the dividend granted to the banking sector, investors and is considered positive in terms of our market, “he said.

In the written statement made by the TBB on the distribution of profits in banking, the Banking Regulation and Supervision Agency (BRSA) did not allow the distribution of profits in the banking sector in 2018 and 2019 with a prudent approach to ensure that equity stay strong, keeping in mind Be aware of potential risks that may be experienced due to global market developments and the epidemic.

Similarly, the Authority stated that it would be beneficial not to distribute profits and reserves, which were obtained before 2020 with the profits to be obtained in 2020, but kept under equity and not subject to distribution of profits in a way that results in cash outflow.

However, it has been considered appropriate to meet possible demands for the distribution of benefits up to 10 percent of the net profit for the year 2020 in the framework of the prudential principle and special circumstances of banks, especially the capital adequacy ratio.

Thanks to its strong equity, strong balance sheet structure, experienced management and prudent approach, the banking sector has successfully managed recent shocks and continues to contribute to the financing of economic activity and the effective functioning of the payments system.

In the statement, where it is stated that the basic banking performance indicators are at the levels foreseen by the regulations and close to international averages, “In this framework, as in international practices, allowing a prudent redistribution is considered a positive for The bench. sector, investors and our markets. “

Source: www.ntv.com.tr

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