Turkey posted a current account surplus of USD 2.77 billion in October 2018, compared to a deficit of USD 3.84 billion in the same month a year earlier and beating market expectations of a USD 2.55 billion surplus. It was the third consecutive monthly surplus and the largest, as trade balance recorded a surplus USD 0.80 billion, swinging from a USD 5.64 billion deficit, as imports tumbled 23.8 percent amid a weak lira and slowing economy. Also, the services surplus increased to USD 3.03 billion from USD 2.58 billion. Meanwhile, the primary income deficit went up to USD 1.16 billion from USD 1.05 billion a year ago and the secondary income surplus declined to USD 0.10 billion from USD 0.27 billion. Considering the first ten months of the year, the current account deficit narrowed sharply to USD 27.17 billion from USD 35.13 billion in the same period of 2017. Current Account in Turkey averaged -1429.44 USD Million from 1984 until 2018, reaching an all time high of 2770 USD Million in October of 2018 and a record low of -9407 USD Million in March of 2011.
Current Account in Turkey is expected to be -2500.00 USD Million by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Current Account in Turkey to stand at -2900.00 in 12 months time. In the long-term, the Turkey Current Account is projected to trend around -3200.00 USD Million in 2020, according to our econometric models.