Turkey’s current account deficit narrowed less than expected in January, data showed on Monday, hitting the lira and putting more pressure on the central bank to reduce the gap as it tries to rebalance the economy.
The deficit, driven by Turkey’s dependence on energy imports, fell to $6.00 billion from $6.57 billion in December and $6.02 a year earlier, the central bank said. A poll forecast a $5.55 billion deficit.
“A disappointing number again, especially with the lira again coming under selling pressure over the past week. It underscores Turkey’s vulnerability via the energy price channel,” said Royal Bank of Scotland economist Timothy Ash.