* Photograph: Anadolu Agency
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The Central Bank of the Republic of Turkey (TCMB) announced the current account balance data for May 2019 today (July 11). Accordingly, the current account of Turkey has posted a surplus of 151 million US dollars in May.
In May 2017, Turkey posted a current account deficit of 6 billion 172 million US dollars. Taken together, the 12-month current account deficit of Turkey has become 2 billion 370 million dollars.
In explaining the reasons for the surplus posted by Turkey's current account, the Central Bank has indicated that the foreign trade deficit of the country has decreased by 5 billion 853 million dollars in comparison with the same month of last year and fallen to 706 million dollars.
As for the gold and energy current account, while it posted a deficit of 1 billion 2014 million dollars last May, it has posted a surplus of 3 billion 469 million dollars in May 2019. The net revenues yielded from the travel item have also increased by 257 million dollars in comparison with last May and become 1 billion 846 million dollars in May 2019.
What is current account deficit?
The current account deficit is a measurement of a country's trade where the value of the goods and services it imports exceeds the value of the goods and services it exports. The current account includes net income, such as interest and dividends, and transfers, such as foreign aid, although these components make up only a small percentage of the total current account.
The current account represents a country's foreign transactions and, like the capital account, is a component of a country's balance of payments. (HA/SD)
