A chef works at a food booth in Istanbul, Turkey, on December 29. Turkey’s annual inflation rate is expected to have hit 30.6 per cent in December, according to a Reuters poll, breaching the 30 per cent level for the first time since 2003 as prices rose due to record lira volatility. Photo: Xinhua
A chef works at a food booth in Istanbul, Turkey, on December 29. Turkey’s annual inflation rate is expected to have hit 30.6 per cent in December, according to a Reuters poll, breaching the 30 per cent level for the first time since 2003 as prices rose due to record lira volatility. Photo: Xinhua
Joe Zhang
Opinion

Opinion

Joe Zhang

Despite currency woes, Turkey may be right to cut interest rates

  • Hit with multiple challenges including double-digit inflation, Turkey’s decision to protect domestic production over its exchange rates may be its most sensible choice
  • If the adverse impact of a lira slide can be mitigated with government support, so much the better

A chef works at a food booth in Istanbul, Turkey, on December 29. Turkey’s annual inflation rate is expected to have hit 30.6 per cent in December, according to a Reuters poll, breaching the 30 per cent level for the first time since 2003 as prices rose due to record lira volatility. Photo: Xinhua
A chef works at a food booth in Istanbul, Turkey, on December 29. Turkey’s annual inflation rate is expected to have hit 30.6 per cent in December, according to a Reuters poll, breaching the 30 per cent level for the first time since 2003 as prices rose due to record lira volatility. Photo: Xinhua
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