27.01.2025 11:30
The depreciation of the Turkish lira has increased demand for the dollar. According to data from the Central Bank of the Republic of Turkey (CBRT), as of the end of November, the net asset acquisition under portfolio investments, which includes securities traded by domestic residents in foreign markets, reached a record level of $20.8 billion over the past 12 months.
While the momentum of decline in dollarization of deposits in Turkey stands out, the interest of domestic savers in foreign currency assets has risen to historic peak levels. According to the relevant data in the Central Bank of the Republic of Turkey's (CBRT) balance of payments dataset, the foreign currency securities held by domestic residents reached a record level of 20.8 billion dollars on a 12-month basis as of the end of November.
10 BILLION DOLLAR THRESHOLD SURPASSED FOR THE FIRST TIME
When viewed on a monthly basis, it was observed that the momentum particularly began to rise in July. In July, the 12-month net asset acquisition of domestic residents exceeded 10 billion dollars for the first time. The highest acquisition on a monthly basis occurred in September with 4.6 billion dollars.
According to the CBRT's announcement, the net asset acquisition item within portfolio investments includes the securities that residents trade in foreign markets. The data also includes the purchases and sales of securities issued by domestic residents (Ministry of Treasury and Finance of the Republic of Turkey, banks, and other sectors) in foreign markets. The source of this data, which also includes sectoral differentiation, is bank reports.
DOLLAR/TRY STARTED THE WEEK WITH AN INCREASE
The Dollar/TRY is trading at 35.7230 after starting the week with an increase. On Friday, the dollar/TRY, which was on an upward trend, closed the day at 35.6640, 0.1% above the previous closing. As of 10:20, the dollar/TRY is trading at 35.7230, with a 0.2% increase. At the same time, the Euro/TRY is trading at 37.3580 with a 0.3% loss, and the Pound/TRY is sold at 44.4720 with a 0.3% decrease.
The dollar index is at 107.8, with a 0.3% increase. In global markets, mixed trends have emerged due to U.S. President Donald Trump's statements regarding Greenland and the possibility of additional tariffs on Colombia, alongside significant trading partners of the U.S., while eyes are turned to the interest rate decisions to be announced this week by the U.S. Federal Reserve (Fed) and the European Central Bank (ECB).