Treasury's interest burden peaked in April

The Ministry of Treasury and Finance's interest payments showed a significant increase in April, reaching 257.1 billion liras. This increase came following the operation targeting the Istanbul Metropolitan Municipality.

According to the report by Sözcü, interest payments, which were 135.5 billion liras in March, increased by 107 percent in one month. While the Treasury's total expenditures exceeded 1.2 trillion liras in April, the cash balance recorded a deficit of 183.5 billion liras.

In the first four months of the year, although the Treasury's revenues approached 3.5 trillion liras, expenditures exceeded 4.5 trillion liras. During this period, the cash balance recorded a deficit of 1 trillion 85 billion liras, and the Treasury made interest payments of 684.5 billion liras. TEPAV economist Hakkı Hakan Yılmaz stated that this situation could jeopardize budget targets and said, "This cycle will not turn unless political reasonableness is achieved and the economic program is reconsidered from scratch, and difficult times will once again hit the vulnerable segments." The Treasury turned to domestic borrowing in April as well to meet its financing needs.

News Source: 12punto