The total reserves of Türkiye’s central bank rose to a historic high of $136.5 billion last week, the official data shared by the bank Thursday showed.
The reserves of the Central Bank of the Republic of Türkiye (CBRT) increased by $2.02 billion for the week ending Nov. 24 – also seeing their highest level in 10 years and surging by 38.6% when compared to the data in May. The reserves stood at $98.5 billion at the end of May following the presidential and legislative elections.
The earlier record in the reserves stood at $135.96 billion recorded in December 2013.
Accordingly, as of Nov. 24, the central bank's gross foreign exchange reserves increased by $1.77 billion to $90.9 billion. In comparison, gross foreign exchange reserves stood at the level of $89.22 billion a week earlier. During the same period, gold reserves increased by $225 million to $45.49 billion.
The upward momentum in the reserves has persisted since June, coinciding with President Recep Tayyip Erdoğan's appointment of respected veteran policymaker Mehmet Şimşek as treasury and finance minister and former Wall Street banker Hafize Gaye Erkan as CBRT governor.
The new administration reversed a yearslong easing cycle and delivered aggressive interest rate hikes in a bid to tackle the country’s long-term inflation issue, lifting the interest rates from 8.5% in June to 40% in November.
The shift in policymaking has been welcomed in international circles as investors have been signaling a renewed interest in Turkish markets following the May vote.
Recent reports, including analyses from international institutions like Deutsche Bank and JPMorgan, suggest that Turkish lira-denominated investment instruments will stand out among developing country markets in 2024.
