Istanbul, July 14 () - Turkey's banking system enjoys its strength but suffers from lower per capita income than peers', according to areport released by the international rating company Standard & Poor's on Tuesday.
The company launched its "Banking Industry Country Risk Assessment: Turkey" on
Ratings Direct, citing that the strengths of the sector are as follows:
"Generally moderate household and corporate debt, bank regulation and supervision that compare favorably with those in many emerging economies and a stable banking industry with adequate ability to price risk."
Lower per capita income than peers' was a major weakness of Turkey's banking sector, stated in the S%P report, adding the other weaknesses as follows:
"Banks' overstretched funding positions because of low domestic savings, high short-term foreign debt and an underdeveloped debt market. Indirect credit risks from a high amount of commercial loans in foreign currency."