The dollar exceeds 17 TL

The dollar exchange rate, which was 13.35 lira at the beginning of the year, has reached 17.15 lira today. The level of 18.37 was seen in the euro. Erdogan had said the previous day that they would continue to reduce interest rates, adding: “We plan to ensure price stability by increasing the current account surplus at an exchange rate at the level that is favorable for us, among other measures that we have taken.”

As concerns about economic policies continue, the dollar/ TL rose towards 17, and the depreciation of the TL recorded since the beginning of May reached 12 percent.

CDS, (which shows the cost of protecting Turkey’s five-year debt against bankruptcy), has risen to a 14-year peak by exceeding 760 points today.

ERDOGAN’S STATEMENTS RAISE THE EXCHANGE RATE

Erdogan said after a cabinet meeting the previous evening that he planned to ensure price stability by “increasing the current account surplus at an exchange rate at the level that suits needs” and said, “This government will not increase interest rates, on the contrary, we will continue to reduce interest rates.”

The dollar /TL rose again after a few days of rest around 16.5 after a hard rise that started last month and resulted in a depreciation of about 10 percent in the TL.