As economic analysts already report, we will see in the near future a new record of devaluation of the Turkish pound against foreign currencies.
According to Turkish news networks, the Central Bank of the Republic of Turkey (CBRT) recently cut its key policy rate by 100 basis points to 14% as expected.
The reduction in interest rates conflicts with the suggestions and estimates of economists around the world, even in Turkey itself. However, the economic policy of the Turkish President, also known as Erdoganomics, has its own laws and rules.
Yesterday, just after hearing that interest rates from the central bank of Turkey will be further reduced at the request of the Turkish president, the pound fell more than 3%, to 14,8 against the dollar.
What everyone expects, as analysts already report, is the further depreciation of the Turkish pound against foreign currencies, at a time when the social upheaval in Turkey, precisely because of poverty and the impact of Erdogan's economic policies, has reached a dead end.
SOURCE: Economy Today