Erdogan: 'Currency fluctuations politically-induced'

Surge in USD/TRY exchange rate in August 'evidence of attempted economic assassination', President Erdogan says

Erdogan: 'Currency fluctuations politically-induced'

Recent currency fluctuations in Turkey have political reasons, Turkish President Recep Tayyip Erdogan said Friday.

"This issue is totally directed by political motives," Erdogan told a meeting of his Justice and Development (AK) Party's provincial leaders in the Turkish capital Ankara.

The recent fluctuations have also shown that no country in the world was secure politically and economically, Erdogan.

Erdogan was referring to a recent surge in USD/TRY rate which he has said was as an economic attack by the Trump administration under a pretext of an ongoing legal case involving a U.S. citizen with strong suspected links to terrorist activities targeting Turkey’s peace and stability.

Erdogan described the surge in USD/TRY rate in August as an "evidence of an attempted economic assassination".

Washington has imposed sanctions on two Cabinet ministers for not releasing pastor Andrew Brunson, who faces terrorism-related charges in Turkey.

The U.S. sanctions were political in nature as Turkey has rejected the U.S. administration's "disrespectful demands", Erdogan said.

He also called Turks abroad to buy gold and Eurobonds to generate additional public income.

On Thursday the Turkish Central Bank raised its one-week repo rate by 625 base points, from 17.75 percent to 24 percent.

The president underlined: "The Central Bank raised the interest rates considerably. Now, we will see the results of [the bank's] independence."