Turkish private sector foreign debt rises by $8.9 billion

Turkish private sector foreign debt rises by $8.9 billion

ISTANBUL - Anadolu Agency

Turkish companies foreign debt has reached $166.5 billion as of June.

The long-term foreign debt of Turkey’s private sector rose to $166.5 billion in June, a rise of $8.9 billion compared to December last year, the Central Bank has announced, amid rising concern over companies’ mounting debt stocks.

The sector’s short-term foreign debt - the debt that must be paid over the next 12 months - also increased by $3.3 billion to $43.7 billion over the same period.

Dollar accounts majority

Data released by the Bank indicated that over half of Turkey’s private sector long-term debt was in dollars, at 58 percent, with 34 percent in euros and 6 percent in Turkish Liras. The finance sector has a 37.1 percent share in long-term private sector debts, worth $61.8 billion.

For the short-term debt of the private sector, 48 percent is in dollars, 40 percent is in euros and 11.2 percent is in liras.

Almost 60 percent of foreign credit to Turkish private companies comes from EU countries, particularly Germany and the U.K.