Domestic Residents Decrease Foreign Currency and Increase Precious Metal Accounts

According to data from the Central Bank of the Republic of Turkey, domestic residents decreased their US dollar and Euro accounts this year, while increasing their precious metal deposit accounts by $14,546.3 million. Meanwhile, FX-protected deposit (KKM) accounts were completely closed.

Foreign Currency Accounts Decline While Gold Rises

According to data from the Central Bank of the Republic of Turkey, adjusted for parity effects, foreign currency deposits increased by $13,249 million this year. While US dollar and Euro accounts experienced a parity-adjusted decrease of $1,437.7 million during the same period, precious metal deposit accounts rose by $14,546.3 million.

Periodic Increases in Precious Metal Accounts

In the same period of last year, US dollar and Euro accounts had increased by $13 billion. This year, the strongest initial increases in precious metal deposit accounts occurred in the week of January 30, before the war, with $4.24 billion, and in the week of March 27, after the war, with $2.39 billion.

August Data and Deposit Distribution

In the past week ending August 21, individuals' precious metal accounts also increased by $190 million, adjusted for parity effects. According to BRSA weekly data, the share of Turkish Lira deposits in the sector declined to 61.10 percent as of August 21.

Total Reserves and Deposit Sizes

According to CBRT data, domestic residents' precious metal deposit accounts are approaching $100 billion at $98,941 million, while total foreign currency deposits stand at $234,027 million.

FX-Protected Deposit Accounts Closed

All accounts in the FX-protected deposit system have been closed. According to BRSA data, KKM accounts dropped to zero as of August 21. Minister of Treasury and Finance Mehmet Şimşek stated that policies strengthening macro-financial stability will be maintained.

Central Bank Reserves and Investor Transactions

The Central Bank's total reserves increased by $4,949 million in the week of August 21, reaching $188,449 million. While gross foreign exchange reserves declined to $74,228 million, gold reserves rose to $114,221 million.