Turkey to transfer opposition Isbank stake to treasury: Erdogan

ISTANBUL (Reuters) – Turkish President Tayyip Erdogan’s AK Party will push through parliament a law transferring to the treasury the main opposition party’s shares in Isbank (IS:), Turkey’s largest listed lender, Erdogan said on Saturday.

The Republican People’s Party (CHP) owns a 28 percent stake in Isbank, bequeathed to it by Mustafa Kemal Ataturk, founder of the Turkish Republic.

Erdogan made the comment after pro-government newspaper Sabah reported earlier on Saturday that AKP was in the process of drawing up a draft law facilitating the transfer.

“We as the AK Party will bring this issue to parliament. Thankfully the MHP said it will give its support,” Erdogan told a rally in central Turkey’s Kayseri province, referring to his party’s nationalist allies.

“God willing we will push this through parliament and secure the transfer of this stake to the Turkish Republic’s treasury,” he said.

The AK Party has 290 seats in parliament and along with the MHP’s 50 seats has a comfortable majority needed to pass legislation in the 600 seat assembly. The CHP has 144 seats.

Isbank shares opened 2.4 percent lower on Thursday after Erdogan’s comments in the media that the treasury should take over the CHP stake.

Erdogan has previously voiced concern about a political party controlling a large stake of a major bank and said authorities should look into CHP members serving on Isbank’s board.

Turkey is due to hold local elections in March next year.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.