Türkiye’s Short-Term External Debt Drops 2.6% in April

According to the latest data from the Central Bank of the Republic of Türkiye (CBRT), Türkiye’s short-term external debt stock declined by 2.6% in April, reaching $168.4 billion. When measured by remaining maturity—regardless of original terms—the total short-term debt due within a year stood at $222.8 billion.

Banking Sector Drives the Decrease

The banking sector played a major role in the decline, with short-term external debt of banks dropping by 6.2% to $73.1 billion, and the Central Bank’s own obligations falling by 1.4% to $29.7 billion.

Notably, short-term loans obtained by domestic banks from abroad plunged by 30.2%, settling at $13 billion. In contrast, deposits held by foreign banks in Turkish institutions rose by 2.5% to $19 billion.

Among non-bank foreign residents, foreign currency deposit accounts increased by 4.8% to $20.4 billion, while Turkish Lira deposits dropped by 2.8% to $20.7 billion.

Other Sectors See Slight Rise in Debt

Meanwhile, short-term debt attributed to non-financial (other) sectors edged up 1.2%, reaching $65.5 billion. Within this group, trade credits—mostly related to foreign trade—rose 1.8% to $61.7 billion, whereas cash loan liabilities declined by 8%, falling to $3.8 billion.

Debt Composition by Currency

As of April, the currency composition of Türkiye’s short-term external debt was as follows:

• 36% in U.S. dollars

• 27% in euros

• 21% in Turkish Lira

• 16% in other currencies

In terms of remaining maturity, there were no changes in debt obligations of the Central Bank and the General Government compared to the previous month. However, a decline in bank liabilities and a slight increase in obligations from non-financial sectors were observed.