...The Turkish leasing sector is fairly underdeveloped compared with the banking sector. Leasing sector assets accounted for just 1.8% of total banking sector assets at end-2016. The top 25 loans at end-2016 (TRY393 million) represented 31% of the total lease book equal to 2.8x equity. 82% of lease receivables and 84% of bank loans were fixed rate at end- 2016. A 1% upward change in interest rates would have resulted in a moderate 1% decrease (end-2015: 11%) to ALease's net income. The high share of past due but not impaired loans (end-2016: 17% of total lease receivables) could indicate deterioration in underlying asset quality. ALease's net open currency position is small (end-2016: TRY3 million, equal to 2% of total equity). Interbank loans, aside from those sourced from related parties, are mostly from Turkish banks and their foreign subsidiaries. ALease ran a TRY323 million liquidity gap up to one year at end-2016....
