Nov 27 2017

Erdoğan stands firm on interest rates

Turkey should not be forced to pay higher interest rates, President Recep Tayyip Erdoğan said.

Speculative attacks in the markets, which have multiplied in force, will not succeed, Erdoğan said in a speech to businessmen in Ankara on Monday.

As the lira has slid to new records against the dollar, Erdoğan and his advisers have accused foreign investors in Turkish markets of trying to bring the government to its knees. The currency has lost almost 15 percent of its value since September and interest rates on the nation's bonds have surged.

Erdoğan has stepped up political rhetoric against the United States, Germany and the European Union in recent months, increasing tensions and causing some investors to flee the country. Meanwhile, inflation has accelerated into double digits and the current account deficit has widened, pressuring the currency further.