Turkey's State Minister Kürsad Tüzmen says a shortage of letters of credit (L/Cs) is jeopardising billions of US dollars of Turkish exports.

Now he is calling on the country's banks to support Turkey's exporters, even if it means taking risks.

New markets

While Turkish exporters are having to fight hard for business in shrinking traditional markets, Tüzmen says they could make more sales in the Middle East, Africa and Central Asia, if only banks would make L/Cs available.

Exporters "cannot make Turkish banks confirm their L/Cs," he says. "The banking sector is not supporting the financing of exports. It is being overcautious," he adds

Take risks

The minister reckons the L/C shortage is costing the country "billions of dollars" in lost export sales and has lambasted Turkey's banks.

"The banking sector should not destroy the labour of many years. It should support financing of exports, taking a risk if necessary. Without risk, nothing can be done," he argues.

"We are all in the same boat and can get out of difficulties only together," Tüzmen concludes.

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