Turkey and Qatar are finalizing talks to provide Ankara with up to $10 billion in financing, including up to $3 billion by the end of this year, Reuters reported, citing senior Turkish officials.

One official said the overall financing could come in the form of a swap, Eurobonds or other method, and Turkish and Qatari leaders have discussed the issue.

Foreign financing could help bolster foreign exchange reserves to support President Tayyip Erdogan's unorthodox policy of lowering interest rates and other stimulus measures, despite soaring inflation and a plummeting lira.

As Western countries refuse to invest in Turkey, Ankara has turned to "friendly" countries to support its policy of stabilizing the lira by balancing supply and demand.

Turkey's central bank has already struck a swap deal with Qatar's central bank that was originally worth $5 billion, but was tripled to $15 billion in 2020.

Negotiations for Qatar to provide new resources to Turkey have reached the final stage. A minimum amount of $8 billion is envisaged, but it could be as much as $10 billion, the official said.

$2-3 billion by the end of this year, the rest next year. It could be a swap or a Eurobond, but they are discussing several ways. There is a mutual agreement, the official said.

A second Turkish official said talks on $2 billion to $3 billion in financing this year were focused on the Eurobond issue.

Qatar has strong ties with Turkey, which supported Doha when Saudi Arabia, the United Arab Emirates and two other Arab states imposed an embargo on Qatar in 2017.

Turkey is also in the final stages of negotiations with Saudi Arabia for Riyadh to place a $5 billion deposit with the Central Bank of Turkey.