The Turkish lira fell 0.7% against the dollar, today, Monday, to return to its lowest levels against the US currency, affected by continuing concerns about the monetary easing policies of the Central Bank, despite the increase in the inflation rate by more than 21%.
The Turkish lira recorded 13.8500 to the dollar, compared to Friday’s close of 13.7485.
It touched an all-time low of 14.00 against the dollar last week, after a significant decline over the past month.
The credit rating agency, Fitch, revised Turkey’s outlook to negative, affirming its rating at (bb-) and lowered its outlook on Turkey’s long-term debt default to negative from stable.
Fitch said that adjusting Turkey’s outlook reflects the central bank’s policy of monetary easing before its time, noting that its assessment reflects weak monetary policy credibility, high inflation, lack of external liquidity and geopolitical risks.