By Tuba Sahin
ANKARA (AA) – The Turkish Treasury on Thursday forecasted the foreign debt payment to total $10.8 billion for next year.
The total amount of debt service is projected to realize at 224.8 billion Turkish liras ($40.4 billion) in 2019, the Treasury and Finance Ministry said in an online statement.
"Total domestic debt service is expected to realize as 164.6 billion liras ($30 billion) while total external debt service is expected to be at 60.2 billion liras ($10.8 billion),” according to the Treasury Financing Program.
The payments of principal would total 118.1 billion Turkish liras ($21.2 billion) with interest at 106.7 billion Turkish liras ($19.2 billion).
"25.8 billion liras ($4.63 billion) of the total financing need in 2019 is expected to be met through non-borrowing resources including the cash primary surplus, privatization revenues, the revenues from 2-B land sales, the Savings Deposit Insurance Fund transfers, receipts from on-lent and guaranteed debt and use of cash account," it said.
The Treasury planned to borrow 199 billion Turkish liras ($35.7 billion) in 2019, according to the program.
It plans to provide the equivalent of $8 billion in external funding next year through bond issuances in international capital markets.
The total amount of domestic borrowing was estimated to be 153.9 billion Turkish liras ($27.6 billion) in 2019.
For 2018, the Treasury estimated that total borrowing would increase to nearly 180 billion Turkish liras ($31.3 billion) from 163.8 billion liras ($42.7 billion) as first planned.