FinObservatory

Chinese overseas lending / TUR

Turkey: debt owed to China

In 2021, Turkey is estimated to have owed China $14.26bn, equal to 1.7% of its GDP, which ranks it 8 of 126 borrowers in the panel by dollars owed. The estimated stock peaked at $14.26bn in 2021. Of the 2021 total, $5.49bn is a drawn People’s Bank of China swap-line balance, a central-bank liability rather than a loan to the government.

$14.26bn
Estimated total, 2021
rank 8 of 126
1.7%
Percent of GDP
2021
$4.32bn
Public and publicly guaranteed
2021
$4.45bn
Private non-guaranteed
50.7% of external

The estimated stock, 2000 to 2021

The largest single-year move in the estimated stock is 2021, when it rose by $6.67bn.

Public and publicly guaranteedPrivate non-guaranteedPBoC swap drawings

Source: Horn, Reinhart and Trebesch, China’s Overseas Lending. Selection: estimated stock owed to China by Turkey, by year and instrument, 2000 to 2021. Zeros are estimated zeros (no known loans outstanding), not missing values. Methodology

Against what Turkey reports owing to all creditors

Turkey reported $434.87bn of total external debt to all creditors in 2021, of which $138.02bn is public and publicly guaranteed. The China estimate is 2.0% of the reported external total and 3.1% of the reported public and guaranteed stock. These are ratios of two different measurements, one estimated and one borrower-reported, and they are not a share of a single consistent total.

Measure, 2021Estimated, owed ChinaReported, all creditorsRatio, %
Total external debt$8.77bn$434.87bn2.0%
Public and publicly guaranteed$4.32bn$138.02bn3.1%

Source: Horn, Reinhart and Trebesch, China’s Overseas Lending (estimated stocks), and World Bank International Debt Statistics, borrower-reported via the Debtor Reporting System (all-creditor stocks). Selection: estimated external and PPG stock owed to China in 2021 against Turkey's reported DT.DOD.DECT.CD and DT.DOD.DPPG.CD for the same year. Drawn swap balances are excluded from the estimated column: they are a central-bank liability the Debtor Reporting System's long-term-debt concepts do not carry. Methodology

People’s Bank of China swap drawings

Turkey carried a drawn swap balance in 2 years of the panel, peaking at $5.49bn. A drawing is a liability to another central bank, and it is not netted out of a headline gross reserves figure.

YearDrawn balanceShare of the year’s China total
2016$143m4.0%
2021$5.49bn38.5%

Source: Horn, Reinhart and Trebesch, China’s Overseas Lending. Selection: every year in which Turkey carried a drawn PBoC swap-line balance above zero. Methodology

The same balance measured against gross international reserves, for every country that has drawn