Turkey central bank sharply raises bond buybacks to boost liquidity
ANKARA - Turkey's central bank bought back a total of 30.5 billion lira ($804 million) in nominal Treasury bonds through direct purchase auctions on Wednesday, marking a sharp increase from previous trading sessions, bankers said.
The move aims to ease tight liquidity conditions in the bond market, according to market participants.
Of the total amount, 19.3 billion lira was allocated to three Turkish Lira Overnight Reference Rate (TLREF)-indexed bonds, while the remaining purchases were spread across three fixed-coupon bonds.
The central bank had launched direct buyback auctions for six bond issues, including fixed-coupon bonds maturing on Aug. 12, 2026, Nov. 8, 2028, and Oct. 5, 2033, as well as TLREF-indexed bonds maturing on May 17, 2028, Sept. 6, 2028, and Dec. 6, 2028. ($1 = 37.9081 liras)
(Reporting by Nevzat Devranoglu; Writing by Ece Toksabay; Editing by Jonathan Spicer)
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