business

"My patience has limits"

"My patience has limits"


The Turkish president Recep Tayyip Erdogan has strongly criticized the central bank as a result of an interest rate hike. His patience has limits, he told representatives of the ruling AKP about the interest rate policy of the monetary guard.

On Thursday, the Fed had raised itself against the declared wish of the head of state, the monetary central rate powerful by 6.25 percentage points to 24 percent.

On the other hand Erdogan knocked again. The Fed has not reached its inflation target within 15 years, the president said. Erdogan had harshly condemned the work of the monetary authorities shortly before the interest rate decision.

The country, plagued by a currency crisis and capital flight, lost investor confidence, mainly because of doubts about the independence of the central bank. "We will see the results of independence," Erdogan said.

Lira after Erdogan reacts under pressure again

At the same time, the head of state appealed to all Turks to have confidence in their currencies. You have to exchange all savings in Lira. According to Erdogan, the decline of the lira is due to a "gruesome economic attack" that started after a series of statements from the US.

Lira Due date, inflation and co.

However, experts see the reason for the lira's decline in Erdogan's economic policy. The doubts about the independence of the central bank even contributed to the loss of more than 40 percent of its value since the beginning of the year.

After the interest rate decision on Thursday, the lira initially appreciated considerably, but came under pressure after Erdogan's statements on Friday: a dollar was more expensive compared to the Turkish currency by 0.4 percent to 6.10 lire.