Turkey's currency crisis intensifying

The currency crisis in Turkey has been deepening as Lira is losing its value against US dollars. Lira has lost at best 35 per cent against US dollar this year which, experts predict, can jeopardise the economic stability of the foreign loan-based Turkish economy.

The crisis continues as the USA has recently imposed heavy import duties on some Turkish items -- thus undermining trade and ties between the two countries. In retaliation, Turkey has also imposed tariffs on US products.

As an emerging economy, many countries and financial institutions have invested and provided loans to Turkey over the years. The weakening Lira means the debtors will need to be paid more.

Like a light at the end of the dark tunnel, Qatar has announced to invest $15 billion in Turkey. It remains to be seen how Turkey can tackle this ongoing crisis.

Mohammad Zonaed Emran,

MNC Banking Unit,

Mutual Trust Bank Limited

Corporate Head Office, Dhaka.

[email protected]