Capital account

Türkiye has witnessed strong capital inflows in the past months and foreign reserves are no longer a concern, Finance Minister Mehmet Şimşek has said, adding that capital inflows could accelerate further after Türkiye was removed from the Financial Action Task Force's (FATF) "gray list."

Türkiye's current account posted a deficit of $5.29 billion in April, widening from the previous month's deficit of $4.4 billion.

In the same month of last year, the current account deficit was $5.09 billion.

Gold and energy excluded, the current account indicated a net deficit of $497 million, the Central Bank said on June 10.

The current account balance posted a deficit of $4.54 billion in March, narrowing from $5.25 billion in the same month of last year, data from the Central Bank has shown.

Analysts had expected the current account deficit to come in at less than $4 billion.

The 12-month rolling current account deficit eased from $31.94 billion in February to $31.2 billion in March.

Türkiye's current account deficit came in at $45.15 billion in 2023, shrinking from  $49.09 billion in the previous year, data from the Central Bank has shown.

In December alone, the current account deficit was $2.09 billion, declining from $2.77 billion in November. This was less than the $3.3 billion gap economists had expected for the month.

Türkiye's current account posted a deficit of $2.7 billion in November 2023, after two months of surpluses, the data from the Central Bank showed on Jan. 12.

The current account recorded surpluses were $1.92 billion in September and $10 million in October.

Türkiye's current account swung to a surplus in June for the first time since October 2021, helped by tourism revenues, data from the Central Bank showed on Aug. 11.

The country's current account surplus was $674 million in June, larger than what most analysts had expected. In May, the current account balance produced a deficit of $7.84 billion.

The Turkish Central Bank's international reserves rose from $98.5 billion on May 26 to $108.6 billion on June 30, while the net reserves improved by $14.2 billion over the same period, Treasury and Finance Minister Mehmet Şimşek said on July 11. 

Türkiye posted a current account deficit of $3.67 billion in November 2022, data from the Central Bank have shown.

The deficit was $352 million in October and stood at $2.1 billion in November 2021.

"Gold and energy excluded the current account showed a net surplus of $5.3 billion," the Central Bank said.

Türkiye's current account deficit widened by $3.2 billion from a year ago to stand at $6.5 billion in May, the country's Central Bank said on July 8.

The 12-month cumulative current account gap, thus, reached $29.44 billion.

Signs are strengthening that falling profits in the industrial sector, particularly acute over the past two years, will drag Turkey into a significant bottleneck in 2016.