Türkiye’s current account deficit at $8.8 billion

Türkiye's current account deficit came in at $8.78 billion in February, falling from a deficit of $10 billion in the previous month, data from the Central Bank have shown.

In February 2022, the balance of payments showed a current account gap of $5.3 billion.

"Gold and energy excluded the current account indicated net surplus of $834 million," said the bank in a statement on April 10.

Exports and imports amounted to $18.6 billion and $29 billion, respectively, leading to a trade deficit of $10.4 billion in February.

"Services recorded a net surplus of $2.3 billion. Under services, travel item recorded a net inflow of $1.65 billion," said the bank.

There was an inflow of $505 million under direct investments, rising from the inflows of $140 million in January. The net acquisition of financial assets amounted to $329 million, while the net incurrence of liabilities stood at $835 million.

"Portfolio investment recorded a net inflow of $240 million. Non-residents' transactions on equity securities recorded net sales of $185 million, while government domestic debt securities recorded net purchases of $14 million," the bank explained.

Under the net omission and error, there was an inflow of $1 billion in February, after an outflow of $10 million in the previous month. Inflows under this item reached $1 billion in the first two months of 2023, down from $3.9 billion in the same period of last year.

Official reserves fell $4.5 billion in February which came on top of the $9.3 billion decline in reserves in January.

On the back of the February data, Türkiye's current account deficit $18.8 billion in January-February, rising from $12.1 billion in the first two months of 2022.