10.06.2024 10:42
Turkey's current account deficit in April amounted to 5 billion 285 million dollars. The total current account deficit for the January-April period reached 16 billion 125 million dollars.
The Central Bank of the Republic of Turkey (CBRT) has announced the Balance of Payments Developments for April 2024. According to this, the current account recorded a deficit of 5 billion 285 million US dollars in April. Excluding gold and energy, the current account deficit amounted to 497 million US dollars.
The defined foreign trade deficit in the balance of payments amounted to 7 billion 649 million US dollars. Net inflows from the services balance amounted to 3 billion 110 million US dollars. Net income from travel under this item amounted to 2 billion 548 million US dollars.
The primary income balance and secondary income balance recorded net outflows of 1 billion 355 million US dollars and net inflows of 609 million US dollars, respectively.
FINANCIAL ACCOUNT
Net inflows from direct investments amounted to 856 million US dollars. Portfolio investments recorded net inflows of 2 billion 23 million US dollars. When examined by sub-items, it was observed that non-residents made net purchases of 360 million US dollars in the stock market and net purchases of 1 billion 387 million US dollars in the government domestic debt securities market.
Regarding foreign bond issuances, banks and other sectors made net borrowings of 758 million US dollars and 500 million US dollars, respectively.
Under other investments, domestic banks' effective and deposit assets in foreign correspondents recorded a net increase of 3 billion 298 million US dollars.
OFFICIAL RESERVES DECREASED BY 2 BILLION 392 MILLION DOLLARS
Foreign banks' deposits in domestic currency recorded a net increase of 358 million US dollars, and deposits in Turkish lira recorded a net increase of 1 billion 246 million US dollars, resulting in a total net increase of 1 billion 604 million US dollars.
Regarding loans obtained from abroad, banks, the General Government, and other sectors made net utilization of 892 million US dollars, 52 million US dollars, and 140 million US dollars, respectively. Official reserves decreased by a net amount of 2 billion 392 million US dollars this month.
FORECAST FOR CURRENT ACCOUNT DEFICIT IN THE MTP
In the Medium-Term Program, the current account deficit for the year 2024 was estimated to be at the level of 34.7 billion dollars, but Minister of Treasury and Finance Mehmet Şimşek stated that they expect a current account deficit well below this level with the improvement expected for the rest of the year. Minister Mehmet Şimşek stated, "We are accelerating the structural transformation towards a current account deficit target below 2.5% for the sustainability of external debt."