A. Introduction
Following the Capital Markets Board's ("CMB") regulatory measures facilitating share buybacks to ensure market stability, the Banking Regulation and Supervision Agency ("BRSA") has taken a similar step.
With its decision dated March 25, 2025, and numbered 11177 (the "Decision"), BRSA eased the buyback of the shares of publicly traded banks listed on Borsa İstanbul A.Ş. Equity Market. You can access the BRSA decision here.
More information on the CMB's steps to facilitate share buybacks can be found here and here.
B. Facilitations Introduced Under the Decision
As per the Decision, publicly traded banks that repurchase their own shares from the stock exchange after March 17, 2025, will benefit from the following until December 31, 2025:
(a) Such shares will not be considered as a deduction item from the core capital which is regulated under subparagraph (a1) of the fourth paragraph of Article 9 of the Regulation on Banks' Equity; and
(b) They will not be included in the credit risk and market risk calculations under the Regulation on the Measurement and Assessment of Capital Adequacy of Banks.
C. Conclusion
Through this Decision, BRSA enables banks to respond more effectively to the current market conditions.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
