Private sector external debt down in July
Turkey’s private sector foreign loans outstanding decreased in July compared to the end of 2019, the Turkish Central Bank said on Wednesday.
Short-term loans – excluding trade credits – to the sector received from abroad amounted to $ 8.5 billion in July 2020, down $ 199 million from the end of December 2019.
Some 83.5% of short-term loans were made up of commitments from financial institutions, the bank said.
Broken down by currency, the majority of Turkey’s short-term credit, 43.4%, was in euros, with 39.3% in US dollars, 15.1% in Turkish lira and 2.2% in other currencies .
Long-term private sector debt fell $ 16.8 billion to $ 162.2 billion over the same period.
The bank said 43.7% of total long-term foreign loans were owed by financial institutions.
“Regarding the currency composition of total long-term loans, 62.8% consists of US dollars, 34.0% euros, 2.5% Turkish lira and 0.7% other currencies, ”he said.
The total outstanding private sector loans received from abroad, on a residual maturity basis, suggests principal repayments of $ 41.9 billion for the next 12 months by the end of July.