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Central Bank (Fed) in its bond purchases in
the near future, led to capital outflows from
all developing countries, including Turkey.
Accordingly, downside risk in emerging
economies increased starting in May.
One of the main factors affecting global risk
appetite has been the ongoing concerns
about global growth in the last quarter of
the year and the expectations regarding the
reduction in the Fed’s asset purchases in the
near future. With the European Central Bank
(ECB)’s reduction of the policy interest rate to
sustain gradual economic recovery, positive
developments were observed in Euro zone
economies. The Fed reduced asset purchases
in December, but since the recovery in the
US economy has not yet stabilized, global
monetary policies became largely dependent
on market data announcements.
During this period, the CBT maintained its
cautious stance in monetary policy and
applied additional monetary tightening
measures to reduce the volatility of
uncertainties in the global market regarding
Turkish lira and to increase predictability
of the monetary policy. By providing the
market with foreign currency liquidity through
foreign exchange selling auctions that began
in June, the CBT tried to take control of the
depreciation of the Turkish lira.
TREASURY MANAGEMENT
At the start of 2013, while concrete
improvements toward the solution of the
Euro zone problems together with the
positive developments in the U.S. and Chinese
economies and the announcement of an
additional monetary expansion package
by Bank of Japan (BOJ), increased the risk
appetite, the continuance of the expansion in
the developed countries accelerated capital
inflows to developing countries by keeping
global interest at historic low levels.
In this period, Turkey captured its share
of capital flows to developing countries.
The Turkish lira appreciated against other
currencies and the benchmark bond yield
fell to its lowest level in history. However,
since mid-2013, ongoing vulnerability of the
global economy and the growing uncertainty
about the monetary policies of developed
countries resulted in increased volatility in
risk appetite. Despite the positive effect of
Turkey’s credit rating increase to investment
grade by a second credit rating agency in May
2013, particularly the signals given by the US
2013 Activities
One of 13 market maker banks determined by the
Turkish Treasury, VakıfBank continued to take an
active role both in primary and secondary bill-bond
markets in 2013.
INTERNET
BANKING
In the first decades of the
new millennium, computer
technology has become
widespread in Turkey, Internet
banking, which allows banking
transactions over the Internet
(www.vakifbank.com.tr), is
more widespread in daily
life. The Bank’s technology
infrastructure is equipped to
serve customers faster and
safer; also, the Bank’s new
Information Technology
Center was put into service.
The current system has been
replaced with the Cisco Works
2000 management system.
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