Turkey May Be Forced to Use Gold Reserves to Stabilize Exchange Rate as Foreign Currency Reserves Depleted by Approximately $30 Billion in 3 Weeks

MarsBitNews · 2026-03-25T12:42:45+00:00

Due to Middle East geopolitical tensions, Turkey's foreign exchange reserves have rapidly declined, triggering market concerns about its ability to maintain currency stability. The central bank has already deployed approximately $30 billion to support the lira, and analysts expect it may need to use gold reserves to address liquidity pressures, with current gold reserves exceeding $100 billion. The conflict has driven up international oil prices, exacerbating Turkey's current account deficit and inflation, with markets anticipating currency depreciation and rate hike pressures ahead.

MarsBitNews

2026-03-25 12:42:45

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Mars Finance News, March 25 — Due to the impact of the Middle East situation, Turkey’s foreign exchange reserves have rapidly declined, raising concerns about its ability to stabilize the currency. Data shows that over the past three weeks, the Central Bank of Turkey has used approximately $30 billion to intervene in the market to support the lira. Analysts point out that under the dual pressures of foreign capital outflows and soaring energy costs, Turkey may be forced to sell or use swap agreements to mobilize its gold reserves to supplement foreign exchange liquidity. Currently, its gold reserves exceed $100 billion.

Affected by the conflict, international oil prices have surged significantly, further exacerbating Turkey’s current account deficit and inflation pressures. The market generally expects that if the situation persists, Turkey may face currency devaluation and increased interest rate hikes.

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