Turkish lira in free fall, German Handelsblatt writes

11 April 2018
368 Views

The Turkish Lira is in a free fall due to the central bank’s decision to adhere to the dictates of Turkish Recep Erdogan, German newspaper Handelsblatt claims.

“The price of the Turkish lira is breaking one negative record after another. For the first time in history, today (April 9) the euro is worth more than five liras. The Turkish currency also recorded a new negative record in relation to the US dollar”, the paper writes.

Experts attribute the fall mainly to the high current account deficit and low real interest rates.

Although economic growth has strengthened, the Turkish central bank does not offset the low real interest rate with significant interest rate hikes but is adopting requests from the Turkish President. Pundits warn of the economy “burning out”, as cheap loans outweigh demand and may lead to stagnation or even recession, the German newspaper notes.

You may be interested

Turkey: “We will continue to protect the ‘Turkish minority’ in western Thrace”
WORLD
shares47 views
WORLD
shares47 views

Turkey: “We will continue to protect the ‘Turkish minority’ in western Thrace”

makis - Jan 18, 2019

Turkey’s Foreign Ministry spokesman stated in a press conference on Friday regarding the “Turkish minority” in western Thrace in Greece,…

Government plans to transfer Knossos and Leonidas’s tomb to Private Fund, archaeologists say
GREECE
shares31 views
GREECE
shares31 views

Government plans to transfer Knossos and Leonidas’s tomb to Private Fund, archaeologists say

makis - Jan 18, 2019

The Greek government plans to transfer 587 monuments and cultural buildings in 37 provinces across the country to the Hellenic…

Things to do with kids in Greece: Athens and the Greek Islands
GREECE
shares789 views
GREECE
shares789 views

Things to do with kids in Greece: Athens and the Greek Islands

Panos - Jan 18, 2019

With a rich history about one of the greatest civilizations on earth and a Mediterranean coast that draws attention to…

Leave a Comment

Your email address will not be published.