Turkey’s Central Bank Reserves Seen Hitting Record $183 Billion After Fresh Boost

Turkey’s foreign currency reserves are expected to have climbed to a new record high last week, following renewed efforts by the central bank to shore up its financial buffers after a period of heavy market intervention.

According to estimates from four senior bankers, the Central Bank of the Republic of Türkiye’s (CBRT) gross international reserves are set to rise by about $4 billion, reaching $183 billion — the highest level on record.

The increase comes after the bank resumed building its foreign exchange stockpile earlier this month. Traders said the CBRT had offloaded nearly $10 billion in late September in an attempt to stabilise the lira, equities, and bonds amid heightened political risks that rattled investors. The recent rebound suggests the bank has since shifted course to replenish reserves depleted by that intervention.

Bankers said net reserves are also expected to have improved, rising by around $2.5 billion to $73 billion. Net reserves excluding foreign-exchange swaps — a closely watched measure of the central bank’s financial strength — are forecast to have grown by $4 billion to reach $57 billion.

The CBRT is believed to have bought roughly $2.5 billion last week as part of the replenishment effort, the bankers added. Official figures confirming last week’s reserve levels are due to be published by the central bank on Thursday.

The CBRT has relied heavily on its reserves in recent years to smooth sharp swings in the lira, which has come under repeated bouts of pressure due to political uncertainty, rising inflation, and shifts in monetary policy. Although such interventions have provided short-term relief for markets, they have also left the bank vulnerable to sudden external shocks.

The lira has been under renewed pressure in recent weeks amid concerns over Turkey’s domestic political stability and its geopolitical position. Analysts say maintaining robust reserves is key to sustaining investor confidence, particularly as the government seeks to attract foreign inflows and stabilise its bond market.

Despite the fresh boost, some economists caution that Turkey’s reliance on swaps with local banks still complicates the true picture of reserve strength. The distinction between gross reserves, net reserves, and swap-adjusted figures remains a critical factor for investors assessing Turkey’s external resilience.

The CBRT did not immediately respond to requests for comment on the reserve estimates.

With official data due this week, markets will be watching closely to see whether the upward trend in reserves continues — and whether the central bank can balance stabilisation efforts with the need to preserve its financial firepower.