Turkey: Current account deficit widens in May
July 10, 2015
The current account balance recorded a USD 4.0 billion deficit in May (April: USD 3.5 billion deficit), which marked a deterioration over the USD 3.7 billion shortfall recorded in the same month last year. The print overshot market expectations of a USD 3.9 billion deficit. The 12-month trailing current account deficit also widened from USD 44.3 billion in April to USD 44.7 billion in May (roughly equivalent to 5.5% of GDP).
In May, exports fell 18.3% in USD terms over the same month last year, which was a notable deterioration from the 0.3% drop tallied in April. Imports fell 13.9%, which followed April’s 11.4% annual contraction. As a result, the trade deficit came in at USD 5.4 billion in May, which marked a mild improvement over the USD 5.5 billion shortfall recorded in the same month last year.