Turkey’s Treasury and Finance Ministry announced on Monday that the central government budget recorded a deficit of 47.22 billion liras (around $2.43 billion) in March, which has increased the country’s total deficit for the first quarter of this year to 250 billion liras ($12.9 billion).
The budget deficit in February spiked due to the massive earthquakes that hit the country, claiming more than 50,000 lives and causing massive destruction in both Turkey and Syria. In February, the central government’s budget deficit hit 170.56 billion liras, compared to about 32.24 billion liras in January.
The Turkish Enterprise and Business Confederation estimated that the quakes could cost the country up to $84.1 billion, while financial services company JPMorgan Chase & Co. put the direct costs of the earthquakes at $25 billion.
The budget deficit news adds to the economic woes of Turkey, which has been grappling with high inflation, unemployment, and a weakened currency, with the lira losing more than 10% of its value against the dollar this year.