Positive Outlook for Turkey's Future Rating
The "Standard & Poor's" credit rating agency presented a special gift to Turkey! The agency announced on Thursday the upgrade of its future outlook for Turkey's credit rating from "stable" to "positive." The good news doesn't stop here; let's take a closer look at the details.
Credit Rating Evaluation:
While the agency confirmed Turkey's rating at "B," it decided to elevate its future outlook to "positive." This comes in the context of the interest rate hikes implemented by the Turkish central bank since June 2023, with confirmation of a decrease in the twin deficit.
The agency also emphasized the possibility of raising Turkey's long-term rating by one notch if the balance of payments improves further, foreign exchange reserves increase more rapidly, and the dollar decreases in the next 12 months.
Regarding the growth of the Turkish economy, the agency predicted an increase of 3.7% this year and 2.4% in 2024. These expectations reflect growing confidence in the strength of the Turkish economy.
Central Bank Reserves:
November of last year marked a record high as the total reserves of the Turkish central bank rose to $136.5 billion, the highest level ever. This record figure reflects efforts to enhance economic stability.
With this positive news, the "Standard & Poor's" rating for Turkey is reviewed in a positive and promising light. In this context, we may have bright expectations for a sustainable economic future.
With my utmost respect for the agency and its new rating, we look forward to seeing Turkey achieve greater accomplishments and continue on the path of development and stability.