{
  "title": "Foreign Currency Balance Sheets in Türkiye: Exposure and Interconnectedness",
  "publication": "IMF Working Papers, June 23, 2023",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737",
  "canonical": "https://www.imf.org/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737",
  "overlayPath": "/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737/index.md",
  "summary": "As a heavily “dollarized” economy, large foreign currency mismatches exist between institutional sectors within Türkiye, as well as with non-residents. Combining several separate data sources, this working paper builds a picture of the aggregate FX exposure of the total economy.",
  "sections": [
    {
      "heading": "Summary",
      "content": "- Author: Alex Pienkowski\n- Date: June 23, 2023\n- Series: Working Paper No. 2023/132\n- Pages: 15\n- Core summary: As a heavily “dollarized” economy, large foreign currency mismatches exist between institutional sectors within Türkiye, as well as with non-residents. Combining several separate data sources, this working paper builds a picture of the aggregate FX exposure of the total economy and explores the interlinkages between sectors and how they have evolved in recent years.\n- Key historical change: Since the start of the pandemic, the overall net FX position of the economy deteriorated, and there has been a considerable shift in FX risk from the private to the public sector. Especially for the central bank, this shift constrains policy space."
    },
    {
      "heading": "Major findings and statistics",
      "content": "- Large foreign currency mismatches exist between institutional sectors within Türkiye and with non-residents.\n- The paper constructs aggregate FX exposure of the total economy by combining several separate data sources.\n- Since the start of the pandemic:\n  - The overall net FX position of the economy deteriorated.\n  - There has been a considerable shift in FX risk from the private sector to the public sector.\n  - The shift in FX risk notably constrains the central bank's policy space."
    },
    {
      "heading": "Themes and technical focus",
      "content": "- Aggregate FX exposure and balance sheets\n- Interlinkages across institutional sectors and with non-residents\n- Evolution of FX risk allocation since the start of the pandemic\n- Implications for central bank policy space and public sector balance sheets\n- Subject classifications: Financial statements, Foreign exchange, Public financial management (PFM)\n- Keywords provided: aggregate FX exposure, balance sheets, Currency risk, Financial statements, foreign currency balance sheets, FX position, FX risk, Global, position of the economy, Türkiye\n\n---\n\n Content in this bundle\n\n- Working Paper\n  - Working Paper (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Working Paper (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737"
    }
  ],
  "bullets": [
    "[Markdown version](/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737/index.md)",
    "[Structured JSON version](/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737/index.json)",
    "[Bundle manifest](/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737/bundle-manifest.json)",
    "Authors: Alex Pienkowski",
    "Published: June 23, 2023",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9798400245879.001",
    "Author: Alex Pienkowski",
    "Date: June 23, 2023",
    "Series: Working Paper No. 2023/132",
    "Pages: 15",
    "Core summary: As a heavily “dollarized” economy, large foreign currency mismatches exist between institutional sectors within Türkiye, as well as with non-residents. Combining several separate data sources, this working paper builds a picture of the aggregate FX exposure of the total economy and explores the interlinkages between sectors and how they have evolved in recent years.",
    "Key historical change: Since the start of the pandemic, the overall net FX position of the economy deteriorated, and there has been a considerable shift in FX risk from the private to the public sector. Especially for the central bank, this shift constrains policy space.",
    "Large foreign currency mismatches exist between institutional sectors within Türkiye and with non-residents.",
    "The paper constructs aggregate FX exposure of the total economy by combining several separate data sources.",
    "Since the start of the pandemic:",
    "Aggregate FX exposure and balance sheets",
    "Interlinkages across institutional sectors and with non-residents",
    "Evolution of FX risk allocation since the start of the pandemic",
    "Implications for central bank policy space and public sector balance sheets",
    "Subject classifications: Financial statements, Foreign exchange, Public financial management (PFM)",
    "Keywords provided: aggregate FX exposure, balance sheets, Currency risk, Financial statements, foreign currency balance sheets, FX position, FX risk, Global, position of the economy, Türkiye",
    "**Working Paper**"
  ],
  "related": [
    {
      "title": "Working Paper",
      "role": "paper",
      "sourceUrl": "https://www.imf.org/-/media/files/publications/wp/2023/english/wpiea2023132-print-pdf.pdf",
      "summary": {
        "path": "/-/media/files/publications/wp/2023/english/wpiea2023132-print-pdf.pdf.md",
        "mime": "text/markdown"
      },
      "binary": {
        "path": "/-/media/files/publications/wp/2023/english/wpiea2023132-print-pdf.pdf",
        "mime": "application/pdf"
      }
    }
  ],
  "alternates": {
    "markdown": "/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737/index.md",
    "json": "/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737/index.json",
    "bundleManifest": "/en/publications/wp/issues/2023/06/23/foreign-currency-balance-sheets-in-trkiye-exposure-and-interconnectedness-534737/bundle-manifest.json"
  },
  "generatedAtUtc": "2026-09-16T22:44:06.021Z"
}