Turkey Achieves Highest Current Account Surplus in Five Years Amid Expectations for Continued Monetary Tightening

Turkey recorded a current account surplus of $4.3 billion in August, its highest in five years, driven by services revenue and reduced gold imports. This improvement is attributed to monetary tightening policies, which curbed demand for foreign goods. However, the Turkish lira remains weak due to high demand for dollars and ongoing inflation. Projections suggest that the government will continue with monetary tightening policies through 2025.