Turkey to raise level of forex revenues exporters must sell to CBRT to 50%

Turkey is reportedly considering raising the level of forex revenues that exporters must sell to the CBRT to as high as 50% from the current level of 25%, reported Reuters citing sources.

Turkey’s current account balance registered a $5.15 billion deficit in February, widening $2.71 billion year-over-year, according to official data released on Monday. The Central Bank of the Republic of Turkey (CBRT) said the country’s 12-month rolling deficit stood at $21.84 billion in February.

The goods trade deficit rose by $3.9 billion annually to reach $6 billion. Services items showed a net surplus of $1.61 billion, increasing $874 million year-over-year. The gold- and energy-excluded current account posted a $2.17 billion surplus in February, up from a surplus of $624 million the same month of last year.

Economists surveyed by Anadolu Agency (AA) Finance expected a deficit of $5.6 billion in the current account in February. Meanwhile, the current account deficit for January was revised from $7.1 billion to $6.9 billion. The CBRT data further showed that some $4 million inflow was recorded from direct investments in February, while a net outflow of $765 million was realized from portfolio investments.

Analyzed by sub-items, nonresidents made net sales of $228 million in the stock market and $573 million in the government domestic debt securities market in February. Banks repaid $551 million and the central government’s net use was $1 billion, regarding bond issuances abroad.