VAT drop sparks surge in Turkish leasing

The value of shares in a number of Turkish leasing companies rose today following the announcement that the countrys government plans to reverse its earlier decision to increase VAT to 18 per cent. Shares in Finans Leasing rose 5.5 per cent this morning and VAKIF Leasing increased 5.2 per cent, compared to 0.2 per cent overall fall across the Istanbul Stock Exchange.

By BrendanMalkin

BrendanMalkin

The value of shares in a number of Turkish leasing companies
rose today following the announcement that the country’s government
plans to reverse its earlier decision to increase VAT to 18 per
cent.

Shares in Finans Leasing rose 5.5 per cent this morning and
VAKIF Leasing increased 5.2 per cent, compared to 0.2 per cent
overall fall across the Istanbul Stock Exchange.

The Turkish government is set to announce plans to reduce VAT to
8 per cent for most assets. This follows its decision, made without
consultation at the beginning of 2008, to increase VAT to 18 per
cent, which was received with uproar from across the leasing
sector