Ford drives hike in car production in Romania
2 days ago
Turkey’s short-term external debt stock moved down by 2% q/q to $120bn at the end of June, the country's central bank said on August 16.
External debt maturing within one year or less regardless of the original maturity stood at $179.1bn at the end of June, down from $180.6bn at the end of May, it added.
According to the figures, the public sector is on the hook for a total of $32bn in foreign debt, including $28bn owed by public banks, in the coming one year period. The private sector, meanwhile, is obliged to pay $146bn, including $74bn faced by private banks and $65bn by non-financial companies.
The short-term external debt stock grew by 16% y/y to $118bn at the end of 2017 from $101.5bn at the end of 2016.
The dizzying descent of the TRY has hurt Turkish companies that have borrowed on the international markets as it has made it more costly in lira terms to repay their debt.
Turkey is heavily dependent on external borrowing due to its chronic current account deficit. Debt-financed consumption has been the prime feature of the country’s remarkable economic growth achieved during much of the past decade, while the private sector’s share in total external borrowing has been on the rise in recent years.
Turkey’s current account deficit widened by 42% y/y to $47.1bn in 2017, driven by rising gold imports and energy prices. However, there are forecasts that an upcoming recession could even turn it into a surplus.
Signs of major conglomerates struggling to repay their hard currency-denominated debts have set off alarm bells.
Related Content
Data
Ford drives hike in car production in Romania
Romania’s automobile production increased by 7% y/y to more than 150,000 units in Q1.
Akbank launches spring syndicated loan renewals season for Turkish banks at better costs
Benefits of Turkey’s so-called economic normalisation policy clearly observed in external debt rollovers.
Ukraine's birth rate plummets to 300-year low as country’s population collapses
Ukraine’s population collapsed to 29mn souls last year, according to Ukraine Business News, with just 187,000 births recorded (including in Russian-occupied territories). This is the lowest annual figure in recorded history over the last 300 years.
Russia’s $13.4bn current account surplus in March second highest since 2007
Russia posted a $13.4bn current account surplus in March, more than double February’s $5.5bn and the second highest level for a March since 2007.
Automotive sector output in Hungary edges up 1.6% y/y in February
Headline industrial output rose 1.8% in February, increasing for the first month in about a year.
Most Read
-
UBN: The US Needs to Wake Up
1 day ago
-
Ukraine's birth rate plummets to 300-year low as country’s population collapses
2 days ago
-
PANNIER: Gulf investment commitments to Central Asia rival sums once pledged by China
14 hours ago
-
Poland's first nuclear plant may carry €35bn price tag
1 day ago
-
Israeli security minister Ben Gvir criticised for mocking alleged strike on Iran
17 hours ago
-
Iran vs Israel: Who is better equipped for war?
6 days ago
-
Saudi Arabia to scale back plans for Neom city
10 days ago
-
Oil continues to flow to Israel via Turkey despite Erdogan’s vehement speeches on plight of Gaza
5 months ago
-
BREAKING: Iraq, Syria and Jordan close airspace amid Iranian strike on Israel
6 days ago
-
Russia’s war economy boosted by rising oil prices
4 days ago
-
Russia could pay off its entire external debt tomorrow, in cash
20 days ago
-
Speculation swirls of “Men in Blue” in Crocus City Hall terrorist attack linked to FSB
25 days ago
-
Albanians campaign on social media to keep bus bridge created in freak accident
1 year ago
-
UBN: Russia could take the Baltic states in 48 hours
30 days ago
-
BRICS announce a blockchain-based payment system to create a common currency
23 days ago