Turkish currency hits all-time low

Turkey’s currency dropped to an all-time low against the dollar on Thursday as the global recession created by the pandemic brings to the fore weaknesses in the country’s economy, AP reports.

The Turkish lira fell to 7.2775 against the dollar before recovering slightly to around 7.24, compared with the previous record low of 7.26 in May.

The drop is in part fueled by high inflation, a wide current account deficit and the government’s push for cheap credit to drive the economy that was already fragile before the COVID-19 pandemic.

Turkey has been hoping for an influx of foreign currency through exports and especially through tourism but numbers are still low amid the coronavirus pandemic.

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