Borsa Istanbul Stock Exchange (BIST) announced Monday that the ban on short selling in the equity market has been lifted after temporary market restrictions introduced due to the Iran war expired.
The bourse said the measures imposed by the Capital Markets Board (SPK) in early March expired on Friday.
In a statement to the Public Disclosure Platform (KAP), BIST said it had reinstated the 5:1 order-to-trade ratio (OTR) in the equity market. The change took effect on Monday.
The Capital Markets Board had imposed a ban on short selling in Borsa Istanbul's equity market on March 1 after Israel and the United States launched attacks on Iran, triggering sharp declines in global equity markets.
The restriction had been extended several times until June 26.
In a note published on Monday, brokerage Iş Investment said lifting the ban was a positive development demonstrating that Turkish authorities were acting in line with recommendations from MSCI, the world's leading financial index provider.
Last week, index provider MSCI flagged recurring concerns about possible coordinated trading and distorted free-float calculations in Türkiye's equity market, warning it may launch a consultation on the country's index treatment if credible progress is absent by November.
