Turkey: macro-financial situation
| Autor: | Sánchez Pastor, Paula |
|---|---|
| Rok vydání: | 2022 |
| Předmět: |
Turkish economy
International reserves Capital flows Macroeconomic imbalances Mercados de divisas General Escape Clause Next Generation EU Economic situation Evolución económica y política económica European Semester Inflation Current account balance Monetary policy Liquidez internacional y capitales a corto plazo Recovery and Resilience Facility Structural reforms Bank lending Turkish lira Recovery and Resilience Plan International economy F32 Monetary policy and inflation F34 Deuda exterior y préstamos internacionales F31 |
| Zdroj: | Repositorio Institucional del Banco de España Banco de España |
| Popis: | Rationale Turkey is identified annually as a material country for the Spanish and euro area banking systems. Moreover, Turkey and Spain are linked by major trade and financial flows. It is therefore important to monitor the country’s macro-financial situation and main weaknesses. Takeaways The Turkish economy continued to post very high inflation rates at end-2022, while economic activity began to slow in Q3, following its strong previous momentum. All of this in the context of sizeable external financing needs, foreign currency debt and low international reserves. Fiscal policy performed better than expected, and the country’s accounts remain healthy. In terms of monetary policy, in August the Turkish central bank resumed the process of reducing the policy interest rate initiated a year earlier, with the real interest rate standing at -75.5% in November. Nonetheless, macroprudential and regulatory measures were implemented to keep credit growth in check and encourage only lending to certain productive sectors. Meanwhile, the banking sector’s balance sheets remain relatively healthy, although some indicators have worsened. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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