Turkey’s Central Bank reserves surges to $108.6 billion in June

Turkey’s Finance Minister Mehmet Şimşek said that the Central Bank’s reserves have increased by $10.1 billion to $108.6 billion since the elections. The Central Bank on July 11 announced that the current account recorded a net deficit of approximately $7.9 billion in May.

Tuesday July 11 2023 05:33 pm

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Finance Minister Mehmet Şimşek stated the Central Bank reserves, which were 98.5 billion dollars on May 26, increased to 108.6 billion dollars on June 30. He pointed out that one of the goals of the new economic program is to "ensure the accumulation of international reserves to the extent market conditions allow.”

Programımızın önemli bir hedefi de piyasa koşulları elverdiği ölçüde uluslararası rezerv birikimini sağlamaktır.

26 Mayıs’ta 98.5 milyar dolar olan Merkez Bankası rezervleri, 30 Haziran’da 108.6 milyar dolar seviyesine çıkmıştır. Aynı dönemde net rezervler ise 14.2 milyar dolar…
— Mehmet Simsek (@memetsimsek) July 11, 2023

Şimşek stated that net reserves also improved by $14.2 billion and added that this rapid increase in reserves in the recent period is "encouraging."

“In addition to rational policies that will contribute to the Central Bank's reserve increase, our efforts to provide additional external resources to our country are continuing rapidly. We will continue to take the necessary steps for the continuation of the recovery,” said Şimşek as leading figure of Turkey’s new orthodox economic administration.

Turkey posts current account deficit of $7.9 billion in May

Turkey’s Central Bank on July 11 shared the balance of payments statistics for May and stated that the country’s current account registered a deficit of 7,93 billion dollars in May.

The gap widened from $5.4 billion in April and $5.8 billion in May 2022, according to the bank’s data.

The gold- and energy-excluded current account saw a $1.3 billion deficit in the month. The goods deficit came in at $10.5 billion in May, while the services sector recorded a net surplus of $3.9 billion in the month. Under the service sector, travel had a net inflow of $3.1 billion in May.

The current account posted a deficit of $37.7 billion in January-May 2023 whereas the 12-month deficit reached 60 billion dollars.