12.02.2025 14:52
The international credit rating agency Fitch Ratings has announced its 2025 forecast for Turkish Islamic banks. In the statement, it was emphasized that Islamic banks lag behind in terms of non-performing loans, and it was noted that these banks are expected to maintain a stable market share in 2025.
The report published by the international credit rating agency Fitch Ratings includes various assessments and forecasts regarding the performance of Turkish Islamic banks in the new year.
"MARKET SHARE DECREASED IN 2024"
Fitch Ratings stated that the market share of Turkish Islamic banks is expected to decrease in 2024 due to credit growth restrictions and capital constraints. It was noted that high inflation and interest rates also have an impact on this.
EXPECTATION OF STABILITY FOR 2025
In its report, Fitch also provided its forecast for Turkish Islamic banks for the year 2025. Accordingly, it is expected that the market shares of these banks will remain stable and consistent in 2025. Additionally, the interest of new digital banks and the Gulf Cooperation Council in the market is also expected to have an effect.
NON-PERFORMING FINANCING RATIOS ARE DECREASING
Fitch stated that the non-performing financing ratios of Turkish Islamic banks will continue to remain lower than those of the overall Turkish banking sector. However, they expressed that only a moderate increase is expected in these types of loans in 2025.