Time and again, Turkey faces a currency crisis. The Turkish lira has lost more than 40 percent of its value against the United States dollar this year, making it one of the worst-performing of all emerging market currencies. Why is this happening? Turkey’s central bank cut interest rates by 100bps in November – the third cut since September – triggering a sharp fall as it signalled it would slash rates again in December.
Why is Turkish Lira Falling?
Why is Turkish Lira Falling?
Why is Turkish Lira Falling?
Time and again, Turkey faces a currency crisis. The Turkish lira has lost more than 40 percent of its value against the United States dollar this year, making it one of the worst-performing of all emerging market currencies. Why is this happening? Turkey’s central bank cut interest rates by 100bps in November – the third cut since September – triggering a sharp fall as it signalled it would slash rates again in December.