Turkish Economy

The historic 23 November plunge of the Turkish lira was triggered by the decision of Recep Tayyip Erdogan the previous day to declare an 'economic war of independence'.

In a Reuters poll, most economists had predicted no change to the one-week policy rate this week, but saw easing from around mid-year, to settle at 15% by year-end.

Erdogan's works and days reveal the archetype of a leader who is motivated by irredentism and who ineluctably must confront the monster which he created and which now threatens to destroy him.

The lira has tumbled 2.5 percent since the ruling late on Monday, reflecting worries that during the coming election campaign the government could again pursue short-term stimulus measures such as tax cuts and costly steps to support the currency.

Tsakalotos said that Greece’s bailout exit is founded on a series of factors, include the decisions of the Eurogroup on the Greek debt, and the cash buffer that the Greek government has created