External credit debt of the private sector decreased in December

The Central Bank (CBRT) announced the Evolution of Private Sector External Loans for December 2022.

Consequently, at the end of December, the total foreign credit debt of the private sector decreased by 7 billion dollars compared to the end of 2021 to 160.1 billion dollars.

When analyzed by maturity, long-term loan debt decreased by $8.7 billion to $151.5 billion compared to the end of 2021; short-term loan debt (excluding commercial loans) increased by $1.7 billion to $8.6 billion.

THE DEBT OF NON-BANKING FINANCIAL INSTITUTIONS INCREASES

Looking at the breakdown by borrower, it was noted that banks’ indebtedness in the form of loans decreased by USD 6 billion compared to the end of the previous year, while their indebtedness in the form of bond issues decreased by USD 5.9 billion to USD 14.0 billion.

In the same period, borrowing from non-bank financial institutions in the form of loans increased by US$577 million, while the stock of bonds increased by US$46 million to US$2.4 billion.

Analyzing the distribution by creditor, the debt with private creditors without bonds at the end of December decreased USD 1.5 billion compared to the end of the previous year and amounted to USD 104.3 billion.

Regarding short-term loan debt, debt with private creditors, excluding bonds, increased by USD 1.5 billion compared to the end of the previous year and reached USD 8.0 billion.

62.1 PERCENT IN DOLLAR

Regarding the foreign currency composition, 62.1 percent of the long-term loan debt of US$151.5 billion is in US dollars, 34.1 percent in euros, 1.8 percent in Turkish lira and 2 percent in other currencies and $8.6 billion short-term. term loan debt, 38.8 percent are US dollars, 36.2 percent are euros, 20.9 percent are Turkish lira, and 4.1 percent are other currencies.

Looking at the sector breakdown, at the end of December, 35.4% of total long-term loan debt of $151.5 billion was held by financial institutions and 64.6% by non-financial institutions.

In the same period, 74.9% of the total short-term loan debt of $8.6 billion consisted of debt from financial institutions and 25.1% from non-financial institutions.

When the total credit debt of the private sector abroad is analyzed according to the remaining maturity at the end of December, it is observed that the principal repayments to be made within 1 year amount to USD 41,800 million.