Treasury Surplus Surprises in May: Türkiye Posts 247 Billion TL Turnaround
CBRT FX reserves
Türkiye’s Treasury recorded a strong cash surplus of 247.1 billion TL in May 2025, marking a significant turnaround after posting a 183.6 billion TL deficit in April. According to data released by the Ministry of Treasury and Finance, this improvement offers a promising signal for Türkiye’s public finances and economic outlook.
May’s Surprise Surplus Brings Hope Despite Five-Month Deficit
Although the first five months of 2025 still show a cumulative cash deficit of 838.1 billion TL, May’s impressive surplus provides renewed optimism. Experts interpret the rebound as a reflection of fiscal discipline, possibly easing concerns in financial markets and helping to restore investor confidence in the government’s economic management.
Primary Balance Strengthens with 348 Billion TL Surplus
Türkiye’s primary balance (excluding interest payments) also delivered a robust performance. In May alone, the primary surplus reached 348.6 billion TL, a major leap from April’s 73 billion TL surplus. Despite a total 63 billion TL primary deficit between January and May, this positive trend indicates increased revenues and tighter control over non-interest spending.
Economic Impact and Outlook Remain in Focus
The recovery in treasury cash flows is likely to ease public borrowing costs and serve as evidence of the government’s commitment to fiscal discipline. Whether this strong performance continues in the coming months will be a key point of attention for both economists and investors.
April Budget Data: A Snapshot of Previous Challenges
In contrast, April 2025 budget data showed significant strain. Türkiye’s central government expenditures reached 1.132 trillion TL, while revenues totaled 957.4 billion TL, resulting in a 174.7 billion TL budget deficit. The non-interest expenditures stood at 871.5 billion TL, leading to a primary deficit of 85.9 billion TL for that month.
From January to April 2025, total budget expenditures reached 4.25 trillion TL against 3.36 trillion TL in revenues, creating a cumulative budget deficit of 885.5 billion TL. The primary deficit during this four-month period amounted to 160.9 billion TL, underscoring the magnitude of the challenge before May’s recovery.
