Turkish private sector's external debt up in August

Turkish private sector's external debt up in August

Turkish private sectors external debt up in August

The Turkish private sector’s outstanding foreign loans in August totaled $173.4 billion, up slightly by $50 million compared to end-2020, the Turkish Central Bank announced on Oct. 14. 

The short-term loans-excluding trade credits- of the sector received from abroad were at $8.9 billion as of August, down $835 million from the end of last year.

Some 83.4% of short-term loans consisted of the liabilities of financial institutions, the bank said.

Broken down by currency, 36.3% of Turkey's short-term credit was in euros, 35.3% in US dollars, 25.1% in Turkish liras, and 3.3% in other currencies.

The private sector's long-term debt rose $886 million to $164.5 billion in the same period.

The bank said 40.1% of the total long-term foreign loans were owed by financial institutions.

"Regarding the currency composition, of the total long-term loans amounting to $164.5 billion, 61.5% consists of USD, 34.4% consists of Euro, 2.3% consists of Turkish lira and 1.8% consists of other currencies," it said.

The private sector’s total outstanding loans received from abroad, based on a remaining maturity basis, point to principal repayments of $40.4 billion for the next 12 months by the end of August.

Economy, private sector debt,