Private Sector's Total Foreign Debt Surges by $15 Billion to $177.7 Billion in October
As of the end of October, the total credit debt of the private sector obtained from abroad increased by 15.0 billion US dollars, reaching 177.7 billion US dollars compared to the end of 2023. According to a statement from the Central Bank of Turkey (TCMB), when examined based on maturity, it was observed that long-term credit debt increased by 9.3 billion US dollars to 162.8 billion US dollars; while short-term credit debt (excluding commercial loans) rose by 5.7 billion US dollars, reaching 14.8 billion US dollars.
The statement noted: "When looking at the distribution by debtor, it can be observed that regarding long-term credit debt, borrowings in the form of bank loans increased by 1.0 billion US dollars compared to the end of the previous year, while borrowings in the form of bond issuances reached 18.7 billion US dollars with an increase of 3.8 billion US dollars. During the same period, borrowings in the form of loans by non-banking financial institutions decreased by 318 million US dollars, whereas the bond stock increased by 301 million US dollars, reaching 1.4 billion US dollars. It was observed that borrowings in the form of loans by non-financial institutions increased by 933 million US dollars, and the bond stock increased by 2.7 billion US dollars, reaching 13.4 billion US dollars. As for short-term credit debt, it was noted that borrowings in the form of bank loans increased by 3.8 billion US dollars to 8.3 billion US dollars, while borrowings in the form of loans by non-financial institutions decreased by 365 million US dollars, settling at 1.3 billion US dollars.
When examining the distribution by creditor, regarding long-term credit debt, as of the end of October, the debt owed to private creditors, excluding bonds, increased by 3.7 billion US dollars compared to the end of the previous year, reaching 108.9 billion US dollars. For short-term credit debt, the debt owed to private creditors, excluding bonds, increased by 4.7 billion US dollars compared to the end of the previous year, reaching 12.5 billion US dollars.
Looking at the currency composition, of the long-term credit debt amounting to 162.8 billion US dollars, 58.6% was in US dollars, 33.9% in Euros, 2.6% in Turkish Lira, and 4.9% in other currencies. Furthermore, of the short-term credit debt amounting to 14.8 billion US dollars, 41.1% was in US dollars, 15.7% in Euros, 38.8% in Turkish Lira, and 4.4% in other currencies.
When examining the sector distribution as of the end of October, of the total long-term credit debt amounting to 162.8 billion US dollars, 38.0% was owed by financial institutions, while 62.0% was owed by non-financial institutions. During the same period, of the total short-term credit debt amounting to 14.8 billion US dollars, 80.2% was owed by financial institutions, while 19.8% was owed by non-financial institutions.
When examining the total credit debt obtained from abroad by the private sector based on remaining maturity as of the end of October, it was observed that principal repayments due within one year amount to a total of 55.5 billion US dollars."