NEWS Finance        18/01/2021

Turkey’s net international investment position is minus USD 385.9 billion as of November 2020

The Turkish Central Bank (TCMB) has reported Turkey's net international investment position (IIP) as minus USD 385.9 billion as of November 2020, an increase of 11.6% on the net IIP of minus USD 345.8 billion recorded at the end of 2019.   

 

External assets were USD 228.6 billion as of the end of November 2020, a 9.7% decrease on the figure as of 2019 yearend.

 

The Bank gave the following analysis of Turkey’s international investment position (IIP) as of November 2020:

 

International Investment Position Developments – November 2020

 

According to the International Investment Position (IIP) at the end of November 2020, external assets recorded USD 228.6 billion indicating a decrease of 9.7 percent compared to the end of 2019 and liabilities against non-residents recorded USD 614.5 billion indicating an increase of 2.6 percent.

 

The net IIP, defined as the difference between Turkey’s external assets and liabilities, posted USD -385.9 billion at the end of November 2020, in comparison to USD -345.8 billion observed at the end of 2019.

 

As regards to sub-items under assets, at the end of November 2020, reserve assets recorded USD 82.7 billion indicating a decrease of 21.8 percent, while other investment recorded USD 90.7 billion indicating a decrease of 4.6 percent compared to the end of 2019. Currency and deposits of banks, one of the sub-items of other investment, recorded USD 44.2 billion indicating a decrease of 6.9 percent compared to the end of 2019.

 

As regards to sub-items under liabilities, direct investment (equity capital and other capital) at the end of November 2020 recorded USD 197.1 billion indicating 20.5 percent increase in comparison to the end of the previous year, with the contribution of the changes in the market value and foreign exchange rates.

 

Portfolio investment decreased by 17.0 percent and recorded USD 110.0 billion compared to the end of 2019. Non-residents’ equity holdings recorded USD 24.6 billion reflecting a decrease of 24.4 percent compared to the end of 2019. Non-residents’ holdings of GDDS (Government Domestic Debt Securities) recorded USD 6.2 billion with a decrease of 59.8 percent. Outstanding eurobond holdings of nonresidents posted USD 47.7 billion with a decrease of 3.0 percent.

 

Other investment indicated an increase of 1.4 percent to USD 307.4 billion compared to the end of 2019. FX deposits of non-residents held within the resident banks recorded USD 32.6 billion at the end of November 2020, reflecting a decrease of 5.4 percent compared to the end of 2019, and TL deposits increased by 8.8 percent recording USD 14.8 billion.

 

Total external loan stock of the banks recorded USD 63.0 billion decreasing by 7.4 percent compared to the end of 2019, and total external loan stock of the other sectors recorded USD 95.2 billion decreasing by 3.2 percent.”

 



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