Turkey’s currency continues to depreciate against the United States (US) dollar. The dollar rose again above the 7.85 Turkish Lira (TL) level, and the euro rose to 9.23.

Although Turkey’s Minister of Treasury and Finance, Berat Albayrak, claims that “the economy in Turkey will improve very soon and this will be felt throughout the country”, the weakening of the Turkish currency continues to raise concerns.

Confidence in the Turkish Lira has also been affected by wider geopolitical disputes. Tensions have been raised between Turkey and the EU over energy exploration initiatives in the Eastern Mediterranean and the escalation of the Azerbaijan-Armenia conflict relating to the disputed region of Nagorno-Karabakh. Reportedly, possible US sanctions may be initiated against Turkey due to its testing of Russia’s S-400 missile system. Tradingeconomics.com reported that the Turkish Lira has already lost 24% of its value this year due to concerns about depleted foreign exchange reserves and sharply negative real interest rates.

In an interview with Hakan Güldağ, the Director of Dünya Newspaper, Turkey’s Minister of Treasury and Finance, Berat Albayrak stated: “The dollar rate is not important to me. I don’t look there at all”. This statement has elicited controversy. Television presenter Serkan Aksarı, on Akit TV (one of the channels close to the government), harshly criticised the minister for his remark, saying: “While the Minister makes this statement, even the jacket he wears and the pen he uses comes to this country through dollar transactions. The Minister’s statement is not acceptable”.