basically its the miss management of the economy the central bank of Turkey, probably under the instructions of the president . interest rates need to be hiked up some way to stem the losses of the TL and moderate the economy. however, the c b of T is trying to rely on stimulus to boost growth in what many foreign investors and banks see as an over-heating economy.Mr. E doesn't like interest, recently calling it the mother and father of evil. as confidence in the bank/government to do what is necessary wains so the value of the lira falls. on the plus side, I received 6.2475 for my £'s today
Good answer soh, also today Fitch gave the country and its finance policy the thumps down which caused the new drop. It will be interesting to see where it ends up, if the election is close and if interest rates rise in the USA as predicted. That said with $20T in dept amd more spending planned by Trump it is hard to see 2 more hikes this year. We shall see.
I have a lira and a sterling account. If you put money in the lira account to make the most of the transfer rate, would you then take it out and put it in the sterling account? not sure why we have a sterling account.
Thanks in advance for your help. Roll on the summer, can't wait to get out there.