- ORIGINAL NEWS
Turkish lira hits fresh record low against the U.S. dollar
- SUMMARY
In Turkey, the lira’s value has plummeted against the US dollar because of soaring inflation and government policies.
Despite raising interest rates, inflation reached 64.8% in December.
The new finance team and the central bank have implemented policies to combat this, but the lira has hit a new record low against the dollar.
Meanwhile, Turkish finance officials are holding presentations in New York to discuss the country’s monetary policy and economy.
These sessions aim to attract investors and provide insights into Turkey’s financial situation.
The situation remains challenging, as the lira’s devaluation affects millions of Turkish citizens who struggle with rising import and foreign debt costs, impacting their purchasing power.
- NEWS SENTIMENT CHECK
- Overall sentiment:
negative
Positive
“A new finance team was appointed in June last year, and Turkey’s central bank embarked on a sharp pivot, pulling rates higher under new governor Hafize Gaye Erkan.”
“The country’s benchmark interest rate has since been lifted from 8.5% to 42.5%.”
Negative
“The beleaguered lira has fallen some 37% against the U.S. benchmark over the past year, as monetary policymakers try to combat double-digit inflation by steadily raising interest rates.”
“Inflation in Turkey rose to 64.8% on an annual basis in December, up from 62% in November.”