Turkey’s private sector long-term foreign loans contracted by 2% q/q to stand at $222bn as of end-June, the central bank said on August 15.
At a combined $111bn, European countries had the largest exposure to Turkish private companies’ outstanding long-term foreign credits. They were led by the UK with $30bn and second-placed Germany with $22bn.
Turkey, enduring a torrid currency crisis, was at the beginning of this week described by many analysts as being days away from entering a debt and liquidity crisis, but a recovery in the value of the Turkish lira (TRY) is under way, thus leading some observers to revise their predictions.
The fresh statistics listed the US as having the third largest exposure to the outstanding long-term loans, at $20bn. It was followed by the Netherlands with $14bn and Bahrain with $11bn (full table published on IntelliNews Pro).
Of lenders, the European Bank of Reconstruction and Development (EBRD) had the largest share, at $10bn. Next were the European Investment Bank with $5bn, the World Bank Group’s International Finance Corporation with $3bn, the International Bank of Reconstruction and Development with $2bn, the Islamic Development Bank with $397mn and the Council of Europe Development Bank with $290mn.
The data also showed Turkish banks’ outstanding long-term loans declined by 2% q/q to $94bn at end-Q2, with $31bn of that made up of bonds.
Non-financial private companies’ total outstanding loans edged down 1% y/y to $111bn at end-June, including $91bn worth of bank loans, $12bn worth of loans from parent companies or affiliates, $442mn in trade credits and $8bn in bonds.
Private creditors provided $154bn of the total of $222bn of outstanding loan stock, while $91bn came from non-resident commercial banks and $31bn was sourced from foreign branches or affiliates of local banks.
Data from the central bank also showed that the private sector's short-term loans volume rose by 1% q/q to $19bn as of end-June, including $13bn worth of loans received by Turkish lenders.
The International Finance Corporation has the largest exposure when it comes to the Turkish private sector’s outstanding short-term loans, at $372mn.
The UK also topped the list of countries with the highest exposure to the Turkish private sector’s short-term loans, at $3.99bn. It was followed by the Netherlands with $3.27bn. European countries’ total exposure to the short-term loans stood at $15.5bn as of the end of June.
On a remaining maturity basis for the next one-year period, the Turkish private sector has to repay a total of $69.6bn for its loan debts, including $5.5bn in August and $6.89bn in September. The highest amounts to be paid are $8.92bn in October and $7.84bn in May 2019.
By the end of 2018, the Turkish private sector’s scheduled total loan debt repayments amount to $32.3bn.
Private sector long-term foreign debt moved up 9% y/y to stand at $222bn as of end-2017 from $202bn at end-2016, while the short-term debt rose by 28% y/y to $18bn as of end-2017 from $14bn a year previously.
Turkish Private Sector's Outstanding Long Term Foreign Loans by Country of Creditor
|
|
|
(USD) |
end-Q1 |
end-Q2 |
Total |
226,960,855,606 |
221,715,080,471 |
|
|
|
EUROPE |
114,792,228,886 |
110,731,471,056 |
ASIA |
40,948,957,285 |
42,721,107,822 |
Holders of Bond Issues Abroad |
44,032,189,361 |
41,927,672,514 |
United Kingdom |
29,203,442,523 |
29,581,529,717 |
AMERICAS |
26,842,856,840 |
26,084,516,484 |
Germany |
23,590,786,062 |
22,102,713,946 |
United States of America |
20,402,591,510 |
19,864,158,420 |
Netherlands |
15,814,018,344 |
13,842,974,960 |
Bahrain |
11,310,334,142 |
10,719,837,918 |
United Arab Emirates |
7,064,169,000 |
9,762,380,263 |
Luxembourg |
8,255,927,530 |
8,173,075,781 |
France |
7,959,128,893 |
7,714,325,619 |
Austria |
8,279,897,718 |
7,168,210,201 |
Japan |
6,361,228,701 |
6,161,241,652 |
Cayman Islands |
5,088,326,284 |
4,719,547,492 |
China |
4,735,304,683 |
4,305,346,700 |
OTHER ASIAN COUNTRIES |
3,978,327,752 |
4,007,164,382 |
Belgium |
4,015,376,153 |
3,692,990,270 |
Italy |
3,537,610,341 |
3,312,575,601 |
Malta |
2,512,558,881 |
3,082,860,810 |
Switzerland |
2,725,430,731 |
2,705,781,150 |
Azerbaijan |
2,021,298,759 |
2,066,831,268 |
Ireland |
2,017,591,959 |
1,865,343,327 |
Spain |
1,852,898,174 |
1,825,176,494 |
South Korea |
1,805,736,116 |
1,727,880,403 |
Kuwait |
1,751,581,963 |
1,717,565,592 |
Russia |
1,493,655,234 |
1,483,612,921 |
OTHER EUROPEAN COUNTRIES |
1,590,910,556 |
1,445,599,816 |
Canada |
1,180,317,109 |
1,330,637,731 |
Singapore |
1,038,980,336 |
1,154,455,652 |
Denmark |
199,459,916 |
1,038,083,073 |
Greece |
939,829,704 |
918,495,850 |
Saudi Arabia |
677,332,543 |
895,424,147 |
Sweden |
573,709,121 |
540,093,293 |
AFRICA |
303,890,980 |
209,624,282 |
OTHER AFRICAN COUNTRIES |
294,514,965 |
200,251,585 |
Turkish Republic of Northern Cyprus |
127,960,913 |
123,748,498 |
OTHER AMERICAN COUNTRIES |
117,972,739 |
122,873,603 |
Hong Kong |
115,942,474 |
114,259,028 |
Kazakhstan |
88,720,817 |
88,720,817 |
Finland |
49,243,602 |
63,963,541 |
Norway |
52,669,401 |
50,200,507 |
Bahamas |
53,019,071 |
46,671,138 |
OCEANIA AND POLAR REGIONS |
40,732,254 |
40,688,312 |
Australia |
21,594,537 |
22,708,526 |
OTHER OCEANIA AND POLAR REGIONS COUNTRIES |
19,137,717 |
17,979,786 |
South Africa |
9,376,015 |
9,372,698 |
Netherlands Antilles |
630,128 |
628,100 |
Jersey |
123,130 |
115,680 |
Outstanding Short Term Foreign Loans by Country of Creditor
|
|
|
|
end-June |
|
TOTAL |
19,067,726,018 |
|
EUROPE |
15,479,975,683 |
|
United Kingdom (England, Wales, Scotland, Northern Ireland) |
3,993,675,545 |
|
Netherlands |
3,265,166,735 |
|
ASIA |
2,491,940,281 |
|
Germany |
2,374,555,994 |
|
Italy |
2,307,397,041 |
|
United Arab Emirates |
985,105,301 |
|
Belgium |
944,119,772 |
|
France |
759,202,314 |
|
OTHER (ASIA) |
614,415,225 |
|
AMERICAS |
602,473,084 |
|
United States of America |
533,596,016 |
|
Russia |
508,261,147 |
|
Switzerland |
450,339,847 |
|
AFRICA |
349,510,423 |
|
OTHER (AFRICA) |
349,510,423 |
|
China |
335,496,265 |
|
OTHER (EUROPE) |
254,413,956 |
|
Bahrain |
230,406,678 |
|
Ireland |
196,733,755 |
|
BONDS |
138,106,195 |
|
Austria |
120,573,895 |
|
Singapore |
115,858,067 |
|
Luxembourg |
111,914,738 |
|
Saudi Arabia |
108,163,794 |
|
Spain |
90,235,371 |
|
Kuwait |
50,000,000 |
|
Turkish Republic of Northern Cyprus |
48,849,439 |
|
Japan |
48,576,830 |
|
OTHER (AMERICAS) |
31,618,524 |
|
Finland |
29,346,592 |
|
Canada |
18,925,939 |
|
Bahamas |
18,332,606 |
|
Sweden |
13,755,023 |
|
Denmark |
7,862,801 |
|
OCEANIA VE POLAR REGIONS |
5,720,350 |
|
OTHER (OCEANIA VE POLAR REGIONS) |
5,720,350 |
|
Azerbaijan |
3,000,000 |
|
Norway |
1,366,765 |
|
Greece |
1,208,706 |
|
Malta |
764,889 |
|
Kazakhistan |
536,465 |
|
Hong Kong |
298,291 |
|
Jersey |
231,360 |
|
South Korea |
83,365 |
|
source: Turkish central bank |
|
|