Private sector debt is $169.4 billion

It has been observed that the private sector has a loan debt of 169.4 billion dollars, of which 7.8 billion dollars is short-term and 161.6 billion dollars is long-term.

The Central Bank has published a report on the development of foreign loans by the private sector in December 2021. According to this; As of the end of December, the total loan debt of the private sector from abroad decreased by 3.6 billion dollars compared to the end of 2020 and became 169.4 billion dollars. When analyzed by maturity, long-term loan debt decreased by $1.8 billion to $161.6 billion compared to the end of 2020; short-term loan debt (excluding commercial loans) decreased by $1.8 billion to $7.8 billion.

When the total loan debt of the private sector from abroad is analyzed according to the remaining maturity as of the end of December, it is observed that the principal repayments to be made within 1 year amount to a total of 42.5 billion dollars.

It mainly consists of bank loans

Looking at the breakdown by borrower, regarding long-term loan debt, the borrowings of banks in the form of loans decreased by 3.2 billion dollars compared to the end of the previous year, while their borrowings in the form of bond issuances decreased by 1.6 billion dollars to 20.0 billion dollars. In the same period, non-bank financial institutions' borrowings in the form of loans decreased by $1.0 billion, while the bond stock decreased by $506 million to $1.8 billion. In the mentioned period, non-financial corporations' borrowings in the form of loans increased by 2.7 billion dollars, while the bond stock increased by 2.5 billion dollars to 10.1 billion dollars. Regarding short-term loan debt, the borrowings of banks in the form of loans decreased by 1.5 billion dollars compared to the end of 2020, to 5.0 billion dollars; non-financial corporations' borrowings in the form of loans, on the other hand, decreased by $209 million to $0.9 billion.

Analyzing the distribution by creditor, the long-term loan debt to private creditors excluding bonds as of the end of December decreased by $2.8 billion compared to the end of the previous year and became $105.8 billion. Regarding short-term loan debt, debt to private creditors excluding bonds decreased by $1.9 billion compared to the end of the previous year and stood at $7.4 billion.

63% of the debt is dollar debt

It was observed that 63.0 percent of the long-term loan debt of 161.6 billion dollars consisted of dollars, 33.5% of euros, 1.7 percent of Turkish lira and 1.8 percent of other currencies.

And of 7.8 billion dollars of short-term loan debt, 37.8 percent of it is dollars, 37.7 percent is euro, 9.7 percent is Turkish lira and 4.8 percent is other currencies.

Non-financials are more in debt

When the sectoral breakdown is analyzed, as of the end of December, 40.0 percent of the total long-term loan debt of $161.6 billion consisted of the debt of financial institutions and 60.0 percent of non-financial institutions. In the same period, 83.8% of the total short-term loan debt of $7.8 billion was composed of financial institutions, and 16.2% of non-financial institutions.