Private sector external debt down in October
Turkey’s short-term and long-term private sector debt stock recorded declines in October, the Turkish Central Bank said on Wednesday.
Short-term private sector loans abroad – excluding trade credits – amounted to $ 7.9 billion in October, down $ 845 million from the end of last year.
Some 83.7% of short-term loans were made up of liabilities from financial institutions, the bank said.
Broken down by currency, the majority of Turkey’s short-term credit, 40.4%, was in US dollars, with 39% in euros, 17.4% in Turkish lira and 3.2% in other currencies.
At the same time, long-term private sector debt fell by $ 18.1 billion to $ 161.2 billion over the same period, compared to the end of 2019.
The bank said 43.5% of total foreign long-term loans were owed by financial institutions and 56.5% by non-financial institutions.
“Regarding the currency composition, of the total long-term loans amounting to $ 161.2 billion, 62.4% consists of USD, 33.8% consists of euros, 2.1% is made up of Turkish lira and 1.7% is made up of other currencies, ”he said.
The total outstanding private sector loans received from abroad, on a residual maturity basis, indicates principal repayments of $ 40.7 billion for the next 12 months by the end of October.