Turkish central bank reserves drop by nearly six billion dollars in a single week

Total reserves at the Turkish central bank fell by approximately $5.8 billion in the week ending February 20, primarily driven by a eurobond redemption. During the same period, net reserves saw a decline of roughly $7 billion, bringing the total to $89 billion. This sizable, contemporaneous change in the external position of Turkey TR is a completed market-driven event that will be formally reflected in the central bank's forthcoming official data release.

The decrease in reserves was largely attributed to the aforementioned eurobond redemption, alongside the fact that the central bank sold about $3 billion in the market. These downward pressures were slightly mitigated by an upward impact from gold prices, which contributed approximately $1 billion to the reserves. The figures highlight a significant shift in both central bank total and net reserves within a single week.