Turkish automakers' stocks rise after banks lower car loan rates

Karsan Otomotiv Sanayii ve Ticaret AS

26/09/2019 07:59

ISTANBUL, Sept 26 (Reuters) - Shares of Turkish automakers
rose on Thursday after three state banks announced that they
would provide lower interest rates on loans to purchase locally
produced cars.
    Tofas  TOASO.IS  shares surged 5.3%, those of Karsan
 KARSN.IS  rose 2.59% and Ford Otosan was up 1.51%. 
    Ziraat Bank, Halkbank  HALKB.IS  and Vakifbank  VAKBN.IS 
said they had lowered interest rates on loans for domestically
produced cars to 0.49%-0.69% as of Oct. 1, from 1.40%
previously. The auto brands included Fiat, Honda, Hyundai,
Renault Mais for passenger cars and Fiat, Ford, Isuzu, Karsan
and Temsa for commercial vehicles.
    Ankara has encouraged state banks to lower interest rates on
various items to spur lending and return the economy to positive
growth, after it contracted annually in the last three quarters.

 (Reporting by Ebru Tuncay; Writing by Ali Kucukgocmen; Editing
by Daren Butler)
 ((ali.kucukgocmen@thomsonreuters.com , @alikucukgocmen;
+902123507067; Reuters Messaging: Reuters Messaging:
ali.kucukgocmen.thomsonreuters.com@reuters.net))