The National Bank of Turkey sent the Turkish lira (TRY) higher against the U.S. dollar by 0.72 percent last Friday when it said exporters using the rediscount credits program could pay back their loans in lira.
Since last Friday, the lira has continued to strengthen (+3.4%). And today, the Turkish national currency hit a 51-day low of 3.55603.
The USD/TRY exchange rate was also pushed in Turkey’s favour this week by a relatively stable U.S. Dollar Index, which sold-off on Wednesday and Thursday down to 100.90 (unchanged since last Friday).
The lira, like the Mexican peso, suffered big losses in the days and weeks following the U.S. presidential election.
By January 11, 2017, the lira hit an all-time low of 3.941. Although the lira has recovered some of those losses - 9.73% since January 11th - the Turkish currency is still down 12.7% against the greenback:
Flags photo by Victoria Pickering
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