Why Can't Turkey Stop Its Economic Nose-Dive?
By Constantine Courcoulas
, Onur Ant
, and Tugce Ozsoy
August 8, 2018, 4:58 PM GMT+2
Turkey’s economic outlook has deteriorated so much that bankers and traders are starting to talk about the need for an International Monetary Fund rescue -- a taboo topic until recently. Some even worry that President Recep Tayyip Erdogan will impose capital controls as a last-ditch effort to avoid raising interest rates and stop a currency plunge. Since an election in June gave Erdogan expanded control over the economy, concerns have grown that he’ll adopt some of his less-orthodox economic views and steer an overheated economy off a cliff. The U.S., meanwhile, has sparked a currency crisis by threatening more sanctions over Turkey’s jailing of an American pastor on espionage and terrorism-related charges.
More:Why Can't Turkey Stop Its Economic Nose-Dive? - Bloomberg