Erdogan chooses low interest advocate as finance minister amid falling lira – ISTOÉ MONEY

By Ezgi Erkoyun

ISTANBUL (Reuters) – Turkish President Tayyip Erdogan on Thursday appointed a strong supporter of its low interest rates as finance and treasury minister, replacing the last official who would favor orthodox policy in a government shaken by the collapse of the local currency.

Nureddin Nebati was nominated after his predecessor, Lutfi Elvan, asked to be “released from his post”, according to the country’s Official Gazette, as the lyre hits a series of record lows – pressured by market concerns about the direction of economic policy.

Nebati, who for three years was deputy finance minister, last week praised Erdogan’s pressure to cut interest rates and said Turkey had been looking for years to implement a low-interest policy but faced strong opposition.

“This time, we’re determined to implement that,” he wrote on Twitter, adding that “it’s okay” to keep interest rates low in current market conditions.

The central bank has cut interest rates three times since September, a total of 4 percentage points, reducing it to 15% last month, well below inflation of nearly 20%.

The lira plummeted 27% last month alone. The currency weakened slightly to 13.5 to the dollar on Thursday following Nebati’s indication.

Elvan’s departure was widely expected and discussed by media and opposition politicians, and marks the latest step in a reshaping of economic figures and monetary policy.

Erdogan has sacked three central bank presidents since mid-2019, and three of the bank’s top officials in October.

(Reporting by Ezgi Erkoyun, Daren Butler and Ece Toksabay)

---

See too

+ Horoscope: check today’s forecast for your sign
+ Video: Driver leaves Tesla car on autopilot and sleeps on SP highway
+ Food stamps: understand what changes with new rules for benefit

+ See which were the most stolen cars in SP in 2021
+ Expedition identifies giant squid responsible for ship wreck in 2011
+ Everything you need to know before buying a crockpot
+ Discovered in Armenia most eastern aqueduct of the Roman Empire
+ US Agency warns: never wash raw chicken meat
+ Passenger attacks and pulls out two stewardess teeth
+ Aloe gel in the drink: see the benefits
+ Lemon-squeezing trick becomes a craze on social media

+ Lake Superior: the best freshwater wave in the world?