Friday August 7, 2020
Turkey’s currency tumbled further Friday, hitting another record low.The Turkish lira dropped to 7.3677 against the dollar before making a recovery. The lira is down about 19% versus the U.S. currency since the beginning of the year. It was trading around 7.17 at 11:45 GMT.The drop is fueled by high inflation, a wide current account deficit and the Turkish government’s push for cheap credit to drive an economy that was already fragile before the COVID-19 pandemic hit.Analysts have expressed concerns over the level of Turkey’s reserves and Turkish President Recep Tayyip Erdogan’s aversion to high interest rates.