World Economy

Turkey $4.96b C/A Deficit Exceeds Expectations

Turkey $4.96b C/A Deficit Exceeds ExpectationsTurkey $4.96b C/A Deficit Exceeds Expectations

Turkey’s current account deficit rose by $1.58 billion to $4.96 billion in March, exceeding the expectations at $4.3-4.4 billion, according to the balance of payments data released by the Central Bank on Tuesday.

The 12-month rolling deficit increased to $45.5 billion at the end of March, up from $43.92 billion at the same period of last year, Dogan News Agency reported.

Current account stood at $2.0 billion in January and at $3.2 billion in February.

The increase in the current account deficit was mainly fuelled by the foreign trade deficit which rose by $1.5 billion to $4.86 billion, while services surplus fell by $47 million to $1.08 billion and primary income deficit rose by $50 million to $1.26 billion, over the same period.

Net gold exports fell by $427 million to $822 billion in March, against in the same month of the previous year.

Direct investment item under primary income involving distributed profits recorded a net outflow of $411 million increasing by $82 million over the same period.

Direct investment recorded a net inflow of $280 million decreasing by $622 million compared to the same month of the previous year.

Portfolio investment recorded a net outflow of $2.95 billion, while non-residents’ equity security transactions recorded net sales of $580 million, as government domestic debt securities recorded net purchases of $444 million.

Regarding the bond issues in international capital markets, government repaid $2.75 billion, while banks and other sectors borrowed $553 million and $107 million on net basis, respectively.