Standard & Poor's (S&P) Banking Analyst Göksenin Karagöz said yesterday that the replacement of Bank Asya's management and upcoming general elections do not create risks for the banking industry. Speaking to Anadolu Agency (AA) he explained that the decision by the Banking Regulation and Supervision Agency's (BDDK) in regards to the seizure of Bank Asia does not affect the international rating agencies' ratings for Turkey. He said that they had issued a report two weeks ago that said, categorically, that the move will not create any risk for the banking sector. Karagöz underlined that the bank's share in the banking system was only around 0.1 percent and therefore does not create any systematic risk for the banking sector. "The Bank Asya example showed how political risks or their perception in the markets can directly or indirectly affect financial systems," said Karagöz. He further noted that the upcoming elections will not have any direct effect on the banking sector despite it being tested during the last two elections. He further noted that Turkey's banking system is being positively affected by geopolitical developments with Turkish banks benefiting from what is happening in Russia and Ukraine.
