2015 September Short-Term External Debt Statistics Developments

Short-term external debt on September 2015 data, the Central Bank of the Republic of Turkey (CBRT) has been published by on November 16, 2015 [1].

Short-term external debt, the basic monthly foreign state stocks of banks, the private sector database that tracks the credit from abroad, Turkey Statistical Institute on commercial loans (TSI) is collected from the import data and Central Bank monthly exchange state resources.

Accordingly, short-term external debt stock decreased by 8.8% (~ 11.7 billion USD) as of September 2015 compared to the end of 2014 and realized as approximately 121.1 billion USD (Figure 1). In the same period, the short-term external debt stock of banks decreased by 11.9% to US $ 84.4 billion, while the short-term external debt stock stemming from other sectors decreased by 0.4% to US $ 36.5 billion.

Figure 1: Short-Term External Debt Stock (1990: Q1- 2015: Q3, Million USD)



Source: CBRT



69.7% of the short-term external debt stock consists of debts originated from banks. 35.3% of the debts originated from banks is composed of loans. As of the end of September 2015, banks' short-term borrowings from abroad were approximately USD 29.8 billion. This figure means that there was a 38.2% contraction in short-term loans compared to 2014 year-end. During the same period, foreign exchange deposits, bank deposits and TL deposits of non-residents increased by 15.5%, 19.1% and 6.7%, respectively (Table 1).

On the other hand, short-term borrowings from other sectors decreased by 0.4% compared to end-2014 and reached US dollar 36.5 billion.

Table 1: Short-Term External Debt Stock (2012: Q1- 2015: Q3, Million USD)



Source: CBRT



When the distribution of short-term external debt stock on a debtor basis is examined, it is seen that the debt of the public sector, which is entirely composed of public banks, decreased by 14.1% as of September 2015 and decreased to USD 15.4 billion. The private sector's short-term external debt stock, which constitutes 87% of the short-term external debt stock, decreased by 7.9% (USD 9.1 billion) at the end of September 2015 compared to the end of 2014 and realized as USD 105.5 billion.

When the distribution on the basis of creditors is analyzed, it is seen that short-term debts to monetary institutions, which constitute 58.4% of private creditors, decreased by 14.9% as of end-September 2015 and decreased to USD 70.5 billion. In the same period, short-term debts to non-monetary institutions increased by 3.7% and realized as USD 47.3 billion. As of the end of September 2015, bond issues, which were USD 2.9 billion, contracted by 31.1% compared to the end of 2014.

When the foreign currency composition of short-term external debt stock in the period 2005-2015Q3 is examined, it is seen that the share of the US dollar is higher than the euro and other currencies, although it decreased by 8 percentage points compared to 2005. As of the end of September 2015, 51.7% of the short-term external debt stock was composed of USD, 30.5% was euro, 14.8% was TL and 3% was other foreign currencies (Figure 2).



Figure 2: Foreign Exchange Composition of Short-Term External Debt Stock,% (2005 - 2015: Q3)



Source: CBRT



Lastly, as of the end of September 2015, short-term external debt stock with a maturity of one year or less remained at US $ 170.7 billion. Approximately 53.8% of the said stock consists of the debts of private banks. The 32.1 billion US dollars of the resident banks and the private sector in Turkey is composed of debt to subsidiaries and foreign branches. When the external debt stock according to the remaining maturity is taken into consideration on a borrower basis, it is found that the private sector has the largest share with 86.7%. The shares of the public sector and the Central Bank are 12.9% and 0.4%, respectively.