Istanbul Stock Exchange Suspends Operations Amid Lira Collapse

Amid the devaluation of the Turkish lira, the Istanbul Stock Exchange has announced the suspension of its operations. According to Armenpress, on December 17, the Turkish national currency set another record for devaluation.

Currently, 1 US dollar is exchanged for 16.1 Turkish lira. In the past month, the dollar has increased by 50.5% in Turkey, and during 2021, it has surged by 114%.

On December 16, the Central Bank of Turkey's monetary policy committee decided to reduce the refinancing rate from 15% to 14%. According to Turkey's statistical committee, the annual inflation rate was recorded at 21.31% in November.

The ongoing devaluation of the Turkish lira has persisted for a year now, primarily due to the economic model implemented by President Recep Tayyip Erdoğan. In September, the Central Bank, acting on Erdoğan's orders, lowered refinancing rates to 15%, which had a more substantial negative impact.

Erdoğan's policies aim to boost the competitiveness of Turkish goods, increase export volumes, and attract new investors.