Turks' hard currency holdings rise again after brief decline
- The holdings have eased from a record high of $236.11 billion in January. When adjusted with the parity effect, the data showed the hard currency holdings dropped by $195 million in the week to March 12.
- Data also showed on Thursday that foreign investors sold $126.4 million worth of Turkish government bonds in the week to March 5, as well as $117.6 million worth of stocks.
ISTANBUL: Turkish locals' forex and precious metals holdings rose to$233.33 billion as of March 12, after dipping for three consecutive weeks, according to central bank data on Thursday.
They stood at $230.42 billion a week earlier.
The holdings have eased from a record high of $236.11 billion in January. When adjusted with the parity effect, the data showed the hard currency holdings dropped by $195 million in the week to March 12.
Turks flocked to hard currencies in recent years as a hedge against double-digit inflation and an ailing lira, which lost 20% of its value against the dollar last year. The central bank is watching keenly for a reversal in this dollarisation trend before it starts rebuilding its depleted FX reserves.
Data also showed on Thursday that foreign investors sold $126.4 million worth of Turkish government bonds in the week to March 5, as well as $117.6 million worth of stocks.
Separately, the central bank's gross forex reserves fell to $52.66 billion in the same period from $53.25 billion a week earlier.
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