Turkey started buying US Treasuries for the first time in almost a decade, according to a person familiar with the matter, marking the end to a drawdown that began in 2016 amid heightened tensions with the US, Bloomberg reported.
The country’s central bank is purchasing US Treasury bonds as part of its efforts to normalize its reserves policy, with foreign-currency holdings now at a healthy level, the person said, asking not to be named because they weren’t authorized to comment publicly on the topic.
The amount of US Treasuries in Turkey’s reserves has increased by $10 billion over the last year to $12 billion, according to US Treasury data compiled by Bloomberg. Ankara dumped most of the holdings, which peaked at almost $80 billion a decade ago, after relations with Washington began to sour over a range of political and geopolitical disagreements during Donald Trump’s first term in office.
The biggest purchases totaled…
