The Turkish Lira slumped to a Record Low
The Istanbul stock market also lost ground, sliding 1.32 percent to 67,221.75 points.
The slump followed the Central Bank’s announcement that Turkey’s current account deficit had risen to $3.9 billion in November from $2.9 billion the previous month.
The expansion of the deficit was stemmed from the increase in the foreign trade and income deficits.
The stress on financial markets also came amid continuing investor concern about Turkey’s external financial position.
“Turkey is currently facing a dangerous combination of large external imbalances, higher global yields and escalated domestic political tensions,” Finansbank also said in a commentary.
The currency plunged 17 percent last year because of a worsening global environment for emerging market assets, compounded by Turkey’s big external deficits and a corruption scandal which erupted in mid-December.
Source: Hurriyet Daily