The Banking Regulatory and Supervisory Authority (“BRSA”), on 10 September 2020, with its decision numbered 9133, changed the criteria of corporates that are obliged to obtain credit rating notes from eligible rating agencies in order to utilise loans in Turkey. Previously, Turkish corporate with a turnover equal to or above 500 million TRY, in order to utilize loans, was obliged to obtain a credit rating note from a rating agency authorised by BRSA until 30 June 2021, as per BRSA Decision No. 8876 dated 21 February 2020, pursuant to Art. 8/3 of Regulation on the Loan Transactions of Banks.
With the new BRSA Decision No. 9133,
- The corporates, other than banks and financial institutions, carrying a risk, including loans, in total equal to or above 500 million TRY in the banking sector based on the most updated data at Banks Association of Turkey – Risk Center, are required to obtain credit rating notes from rating agencies authorised by BRSA until 30 June 2021.
- The validity of the credit rating note obtained shall not have expired before the loan application date.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
