CBRT announced: IIP posted a deficit!

The Central Bank of the Republic of Turkey (CBRT) has announced Turkey's international investment position as of the end of December 2023, based on International Investment Position (IIP) data. According to IIP data, Turkey's external assets increased by 6.0 percent compared to the end of 2022, reaching 326.9 billion USD, while its liabilities decreased by 2.0 percent to 612.1 billion USD.

DECREASE IN EXTERNAL LIABILITIES

The net IIP, defined as the difference between Turkey's external assets and its external liabilities, stood at -285.2 billion USD at the end of December 2023, compared to -316.1 billion USD at the end of 2022.

INCREASE OBSERVED IN RESERVE ASSETS COMPARED TO 2022

When examining the sub-items of assets, the reserve assets item increased by 9.4 percent compared to the end of 2022, reaching 140.9 billion USD, while the other investments item increased by 0.2 percent to 121.1 billion USD. Among the sub-items of other investments, banks' foreign currency and Turkish Lira cash and deposits increased by 3.7 percent to 46.7 billion USD.

When examining the sub-items of liabilities, direct investments (equity and other capital) decreased by 22.5 percent compared to the end of 2022, reaching 158.6 billion USD, influenced by market values and changes in exchange rates.

Portfolio investments increased by 2.7 percent compared to the end of 2022, reaching 95.8 billion USD. While the stock of equity held by non-residents increased by 2.7 percent compared to the end of 2022 to 29.5 billion USD, the stock of Government Domestic Debt Securities (GDDS) held by non-residents increased by 111.6 percent to 2.6 billion USD, and the Treasury's bond stock (after deducting the bond stock purchased by residents) increased by 1.4 percent to 42.5 billion USD.

In the same period, other investments increased by 9.5 percent compared to the end of 2022, reaching 357.7 billion USD. Foreign currency deposits of non-residents in domestic banks increased by 3.8 percent compared to the end of 2022 to 43.2 billion USD, while TL deposits increased by 20.5 percent to 17.0 billion USD.

The total loan stock of banks increased by 12.3 percent to 63.1 billion USD, while the total loan stock of other sectors increased by 0.7 percent to 101.0 billion USD.

News Source: 12punto