Video-opinion: Has Erdogan Averted a Currency Crisis?
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[embed]https://www.youtube.com/watch?v=VWbTvnwwU2A&list=RDCMUCKpFJB4GFiNkhmpVZQ_d9Rg&start_radio=1[/embed]
Only 23 minutes!
Has Erdogan averted a currency crisis?
- Since the CBRT September rate cut, the Turkish Lira has been on a roller-coaster ride, causing riding to puke all over the theme park.
- After rising all the way to 18.00, after the announcement of a second “revolutionary New Economic Model”, dollar/TL seems to have stabilized at around 12.00-13.00.
- Domestic pundits, even those in the opposition camp admire grudgingly Erdogan’s phenomenal ability to skirt disaster.
- This view simply shows that political analysts don’t know crap about economics.
- The new model, summarily called “Deposit Protection against TL Depreciation” is a ticking time bomb.
- The new-new-new model will collapse latest by the end-January, possibly signaling the end of Erdogan’s mad antics and his upcoming retirement.
