Turkey’s October current account balance showed a surplus of 186 million dollars bringing down the annual current account deficit to 50.7 billion dollars.
According to the Central Bank data, in October, the current account surplus turnout was 186 million dollars below the market expectations of a surplus of 750 million dollars. Hence, the annual current account deficit reached 50.7 billion dollars as of October.
The current account balance, excluding gold and energy and referred to as the ‘core deficit’, was at a surplus of 5.067 billion dollars. The foreign trade deficit in the balance of payments was 4.866 billion dollars.
In October, net inflows due to the service balance were 6.035 billion dollars. Net income from the travel item under this category was recorded as 4.748 billion dollars.
The primary income balance had a net outflow of 1.1 billion dollars, while the secondary income balance had a net inflow of 18 million dollars.
There was a net outflow of 2.7 billion dollars in the net error and omission item that categorizes undefined flow of funds. In September, a net outflow of 2.4 billion dollars was recorded in the same item. In the January-October period, this item had a deficit of 8.1 billion.
Portfolio investments saw a net outflow of 689 million dollars in October. Direct investments resulted in net inflows of 638 million dollars. Foreign residents made net sales of 423 million dollars in the stock market and 16 million dollars in the government domestic debt securities market.
Regarding foreign bond issuances, banks had a net borrowing of 348 million dollars.
Under other investments, the foreign currency and deposit assets of domestic banks at their foreign correspondents decreased by a net amount of 1.267 billion dollars.
The deposits of foreign banks in the country increased by a net amount of 1.287 billion dollars, including a net increase of 1.089 billion dollars in foreign currency and 198 million dollars in Turkish lira.
In terms of loans obtained from abroad, while other sectors made a net repayment of 301 million dollars, banks and the General Government made net use of 509 million dollars and 50 million dollars, respectively.
In October, there was a net increase of 247 million dollars in official reserves.