HomeBanking & FinanceTurkish October budget posts 83.3 billion liras deficit
By Economy Middle East
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November 16, 2022 10:09 am

Turkish October budget posts 83.3 billion liras deficit

Budget widens for the second month in a row
Turkish budget
Turkish budget deficit widens (Source: Turkish finance ministry)

The Turkish central government budget was in deficit for the second month in a row, as spending on current transfers increased, including financial assistance for families.

According to data released by the country’s Ministry of Treasury and Finance, the government had a monthly fiscal deficit of 83.3 billion liras ($4.5 billion) in October, nearly five times the deficit of 17.4 billion Turkish liras in the same period a year earlier. The Turkish budget deficit increased from 78.6 billion Turkish liras in September to 79.6 billion Turkish liras in October.

Read more: Turkish inflation reaches a 24-year high of 85.5%

Spending surged in October by 134 percent year on year to 307.4 billion liras. Wage expenditure increased by 100 percent to 63.1 billion liras.

Government revenues, on the other hand, increased by 97 percent to 224.2 billion Turkish liras, with tax revenue contributing approximately 182 billion Turkish liras.

Between January and October, Turkey’s budget deficit amounted to 128.8 billion liras.

Türkiye’s budget deficit was 45.5 billion pounds ($2.45 billion) in the first nine months of the year, with an initial surplus of 161.6 billion pounds ($8.69 billion).

Payments to compensate depositors’ losses amounted to 84.9 billion pounds ($4.57 billion) in that period.

The central budget surplus was 3.59 billion liras ($197 million) in August, while the primary surplus was 26.23 billion liras ($1.41 billion).

In August, budget payments for the plan to compensate depositors for lira losses, which was implemented in December to halt the currency’s decline, totaled 15 billion Turkish lira (nearly $810 million).