Reuters reported that South Korea transferred $780 million to Turkey last week as part of swap agreements. According to the news based on the two bankers, the transfer was made within the scope of the $2 billion swap agreement signed in 2021.
Bankers said that the money transferred from South Korea to Turkey is close to 1 billion dollars so far. The Central Bank of the Republic of Turkey (CBRT) did not comment on the money transfer.
All swap agreements of the CBRT are made in local currencies. The swap agreement between South Korea and Turkey was signed in August 2021.
The CBRT has swap agreements with China for 6 billion dollars, with Qatar for 15 billion dollars, with the United Arab Emirates for about 5 billion dollars and with South Korea for a total of 28 billion dollars, including 2 billion dollars.
The CBRT did not comment on the subject.
More recently, the CBRT has been increasing its reserve currency deposit accounts rather than swap agreements. President Recep Tayyip Erdoğan also said that “friendly countries support” during the increase in reserves.
Another prominent transaction that supported the reserves in the recent period was the transfer of approximately $5 billion in two rounds by Russian Rosatom for the construction of a nuclear power plant. In the same period, this transaction came to the CBRT as a swap of approximately 6.1 billion dollars.
RESERVE EXCEPT SWAP MINUS
Most recently, the Central Bank’s gross reserves decreased by $3.8 billion last week. Net reserve excluding swaps fell to a record low of -59 billion dollars.
As of September 30, the CBRT’s gross foreign exchange reserves decreased by 3 billion 283 million dollars to 68 billion 52 million dollars.
Gross foreign exchange reserves decreased by $3.5 billion on September 23 to 71 billion 335 million dollars.
In the week of September 30, gold reserves decreased by 473 million dollars from 39 billion 469 million dollars to 38 billion 996 million dollars.
While the net reserves of the CBRT were $9.7 billion with a flat course last week, the net reserve excluding swaps decreased by $3.6 billion to $59 billion.