Exports hit highest-ever monthly figure in May

Exports hit highest-ever monthly figure in May

Exports hit highest-ever monthly figure in May

Turkey’s exports hit the highest-ever monthly figure with $16.8 billion in May this year, the country’s trade minister announced on June 3.

According to the general trade system, Ruhsar Pekcan said the country’s exports last month jumped 11.46 percent year-on-year.

In the same month, Turkey’s imports amounted to $18.5 billion with an annual decline of 19.85 percent.

“Turkey’s foreign trade balance in May posts a $1.7 billion deficit, improving from a $8.1 billion deficit a year ago,” she said.

Pekcan also noted that the exports-to-imports coverage ratio stood at 90.5 percent in May.

In the calculation of foreign trade statistics, two different methods are used - the special trade system and the general trade system.

Calculations based on the special trade system do not include free zones and customs warehouses.

The general trade system is a wider concept, including customs warehouses, all types of free zones, free circulation area and premises for inward processing.

Through the end of every month, Turkey’s statistical authority releases the final foreign trade figures for the previous month, as the ministry of trade announces preliminary general trade system data in the first week of every month.

January-May figures

In the five-month period, Turkey’s exports reached $76.6 billion with an annual hike of 5.37 percent.

Over the same period, the country’s imports amounted to $87.1 billion, falling 19.86 percent on a yearly basis.

As a result, Turkey’s foreign trade balance recorded a significant improvement, standing at a $10.5 billion deficit versus a $36 billion deficit in the same months last year.

The preliminary figures also revealed that the exports-to-imports coverage ratio was 87.9 percent in the January-May period.

Pointing out the rapid decline in the foreign trade gap, Pekcan said: “This recovery has made a strategic contribution to the economy by reducing the external financing need.”

“Despite all the weaknesses in the global trade, our exports rose by 5.37 percent, while exports of high-value-added investment products climbed 8.88 percent in the January-May period,” she added.

According to the New Economic Program, released in September last year, the government targets $182 billion of export revenues this year. The government expects export income to increase further to $191 billion in 2020.

The government’s foreign trade deficit forecasts for this year and next are $62 billion and $61 billion, respectively, as imports are expected to amount to $244 billion in 2019 and $252 billion in 2020.