Turkey needs to pay off its debt of $46 billion in a year

The Central Bank of the Republic of Turkey (CBRT) increased its official reserve assets by 4.6 percent in May compared to the previous month, reaching 92 billion dollars while due to debts, it paid 5.4 billion dollars in interest in the same month.

Thursday July 01 2021 05:03 pm

K. Murat Yıldız / Duvar English

The May International Reserves and FX Liquidity Developments report was released by the Central Bank of the Republic of Turkey. Official reserve assets increased by 4.6 percent from the previous month, reaching 92 billion dollars according to the released data.

Foreign exchange assets increased by 2.3 percent in this period compared to the previous month, reaching 46.5 billion dollars, while gold reserve assets increased by 7.4 percent to 43.9 billion dollars.

The Central Government and the Central Bank's predetermined foreign exchange outflows (liability arising from foreign currency loans, securities, and deposit transactions) with a maturity of one year or less decreased by 13.6 percent from the previous month to 23.4 billion dollars.

Domestic and foreign bank liabilities hit 60 billion dollars

There is approximately 18 billion dollars in principal and 5.4 billion dollars in interest in this amount. Furthermore, the Central Bank's net foreign exchange and gold liabilities arising from financial derivative transactions with domestic and foreign banks total approximately 60.1 billion dollars, with 27.2 billion dollars maturing in one month.

Treasury-guaranteed foreign debts due in a year and other liabilities were among the conditional foreign currency outflows (required reserves blocked account in foreign currency and gold, and letters of credit). In comparison to the previous month, the liabilities increased by 0.6 percent to 46 billion dollars.