Fitch Rating "Aka Omk Sannefa coined by our Fuhrer Kais Said" has already downgraded our economy to CCC

The Turkish industry is a heavy consumer of "produits semi-finis" (dont know the term in English even a google translation is not that objective)

it's called "industrial goods" (b2b), in opposition to consumer goods (b2c).

This is not the only reason for the weakness of the Lira but it is one of many

The main problem of the turkish Lira is its vulnerability to speculation on the FOREX markets, since it is a convertible currency like USD or EUR, and their central bank has very few influence on its value. That kind of currency requires very good diplomatic relationships with the biggest economic powers, as well as wealthy countries with huge sovereign funds (like UAE and Qatar). Turkey started to mess with some of those countries, so they attacked their currency on the FOREX markets. Trump said it openly, that he will destroy their economy, which he partly did.

But Turkey is a huge market, with almost 100 Mio consumers, and an economic powerhouse in its region (black sea / south europe).

Don't forget, there is a closed market of 80 Mio consumers next door (Iran), completely dependent on trade with them due to international sanctions. And now they are becoming a bridge to the closed russian market as well (200 mio consumers).

Whoever makes business in Turkey right now will soon be shitting gold.

/r/Tunisia Thread Parent