Turkey's current account sees $3.16B surplus in October

ANKARA

Turkey’s current account balance posted a $3.16 billion surplus this October, improving from a $93 million deficit in October 2020, the country’s central bank announced on Monday.

The country’s 12-month rolling deficit totaled $15.4 billion, according to figures released by the Central Bank of Turkey (CBRT).

“This development is mainly driven by the net inflow of $146 million in the goods item, against the deficit of $1.3 billion observed in October of last year and the net inflow of $3.9 billion in services item increasing by $1.8 billion,” the bank said.

Treasury and Finance Minister Nureddin Nebati said October’s figure of $3.16 billion was Turkey’s highest monthly surplus in the last three years.

In a Twitter post, he pointed out that the 12-month rolling deficit was also significantly down from $35.6 billion in October 2020.

The month’s main reading was above market expectation of a $2.32 billion surplus for the month.

An Anadolu Agency survey last week showed that a group of 12 economists projected the current account balance would post a surplus of $2.32 billion in October.

The end-2021 current account balance was expected to register a deficit of $15.3 billion, with estimates ranging between $10.5 billion and $20 billion.

Gold and energy excluded current account indicated a surplus of some $7.7 billion, more than double from $3.1 billion a year ago, it added.

Under services, travel item saw a net inflow of $3 billion, up $1.3 billion year-on-year, while direct investment recorded net inflow of $337 million.

Turkey’s current account surplus in September was $1.65 billion.