The lira fell to 12.49 against the dollar. It has lost 40% of its value this year, including a drop of nearly 20% since the start of last week.
Erdogan has pressured the central bank to turn to an aggressive easing cycle that he says is aimed at boosting exports, investment and jobs – even as inflation has soared to nearly 20% and currency depreciation is accelerating strongly affects the income of citizens.
Former deputy central bank governor Semikh Tyumen, who was fired by Erdogan last month, has called for an immediate return to policies that protect the value of the lira.
“This irrational experiment, which has no chance of success, must be stopped immediately and we must return to quality policies that protect the value of the Turkish lira and the prosperity of the Turkish people,” he said on Twitter.
Lira is performing the worst in emerging markets this year, largely due to what analysts describe as a reckless and premature monetary easing.
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