Turkey thwarts speculative economic attacks (Erdoğan)

Turkey has foiled attacks by domestic and foreign players on its economy after the pound successfully rebounded from record highs against foreign currencies, President Recep Tayyip ErdoÄŸan said on Wednesday.

“There are obstacles, risks and pitfalls, but Turkey’s determination will overcome them and we will emerge victorious from the economic battle,” ErdoÄŸan told his fellow parliamentarians at the parliamentary meeting of the Justice Party and the United Nations. development (AKP) in power in Ankara.

He also noted that Turkey does nothing against free market rules, but tries to ensure that speculators leave the economy alone.

The Turkish lira made an overnight comeback on Monday as ErdoÄŸan revealed a new financial mechanism to support the currency.

The lira stabilized on Wednesday and held on to the gains of what is so far its best week in two decades.

The lira was at 12.25 per dollar at 5:39 am GMT, from a close of 12.4 on Tuesday when it rose 6% in a roller coaster session.

The new measures come in the wake of rising prices and exchange rates as the government pursues its “new business model,” which emphasizes opposition to high interest rates.

The measures taken by the government to support the Turkish lira will benefit each of Turkey’s 84 million people, the president said.

“The winner here isn’t just those with the money in the bank or the exporter; it’s for the whole country, each of our 84 million citizens.”

ErdoÄŸan said the new instrument would allow potential foreign currency investors to achieve the same results while sticking to the lira.

“Our decision to bring the exchange rates to a level which reflects the realities of Turkey, within the framework of the rules of the market economy, has achieved its objective,” he said.

The Central Bank of the Republic of Turkey (CBRT) on Wednesday released the first exchange rate issue to be used as the basis for currency-protected Turkish lira deposit accounts.

According to bank data, the US dollar / Turkish lira exchange rate was 12.35 for buying and 12.37 for selling, while the rates were 13.9 and 13.93 for the euro, respectively. .

By comparing the exchange rates at the beginning and end of the term of resident individuals’ accounts, the Central Bank will pay the difference, whichever is greater, to depositors.

Exchange rates are published daily by the bank.

In the new system, regardless of exchange rates, depositors will receive the principal and the interest / profit share.

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