Turkey’s Lira Heads for Longest Run of Losses in 25 Years
Turkish currency is down for a 15th week as interventions ease. Declines in the lira accelerated after Erdogan’s re-election
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Turkey’s Lira Heads for Longest Run of Losses in 25 Years!!
-Turkish currency is down for a 15th week as interventions ease
-Declines in the lira accelerated after Erdogan’s re-election#inflation #turkish #Currency pic.twitter.com/UOl8uh67Hc— The_Journalbiz (@the_journalbiz) June 19, 2023
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The Turkish lira depreciated another 1% this week.
The lira is headed for its longest run of weekly losses this century as Turkey’s new economic team curbs its intervention in the currency market.
The Turkish currency depreciated another 1% this week, after last week’s 11% slide. It’s now been falling since early March, in the longest streak of losses since 1999.
The declines have quickened following President Recep Tayyip Erdogan’s re-election on May 28.
In the 18 months before the vote, the central bank used up nearly $200 billion of reserves trying to bolster the currency, yet it remained one of the worst performers in emerging markets.
- For many foreign investors, the lira is finding its equilibrium
Overseas investors purchased a total of $287 million of Turkish bonds and stocks last week, the biggest inflow since December, the latest central bank data showed.
