Foreign Currency Deposits in Turkey Climb by Over $1.5 Billion in a Week

The foreign currency holdings of Turkish residents surged by $1.55 billion in the week ending July 25, 2025, according to data released by the Central Bank of the Republic of Turkey (CBRT).

As of July 18, total FX deposits stood at $194.04 billion, but this figure rose to $195.59 billion just one week later, marking a significant increase in hard currency savings among domestic account holders.

Individual vs. Corporate Accounts

• Retail investors (individuals) increased their FX holdings by $165.26 million, reaching $118.47 billion.

• Corporate accounts saw a much larger rise of $1.39 billion, pushing their holdings to $77.12 billion.

Adjusted for Exchange Rate Movements

When parity effects are removed (to account for currency fluctuations):

• The net increase in foreign currency deposits becomes $1.21 billion.

  • Individuals contributed $83.08 million

  • Corporates added $1.13 billion

What’s Driving the Surge?

The strong rise—particularly among institutional and corporate investors—suggests growing caution in the business community, possibly driven by exchange rate volatility, inflationary concerns, or anticipation of monetary policy shifts. The sharp preference for dollar-based assets indicates sustained skepticism in the Turkish lira’s short-term outlook.