Saturday, 18 December 2021 (YJC)_ The Turkish stock market stopped trading after the Turkish lira fell below 17 lira against the dollar.
According to RT, the Turkish stock market stopped trading after the Turkish lira fell to less than 17 lira against the dollar in trading on Friday.
The lira has lost more than half its value against the dollar since the beginning of 2021.
"From 16:24 Istanbul time, trading will be temporarily suspended in all stock markets," the Turkish Stock Exchange said in a statement.
The Turkish lira has depreciated amid pressure from President Recep Tayyip Erdogan on the central bank to cut borrowing costs to boost economic growth.
The Central Bank of Turkey announced on Thursday that it had cut interest rates from 15% to 14%. This was done while the country's inflation rate is 21 percent.
The Turkish central bank has cut interest rates since September. For the past two years, the Turkish Central Bank has intervened in the foreign exchange market by selling dollars.
The S&P Global rating agency said that the Turkish government's monetary policy, along with a significant fall in the value of the lira, will increase the country's inflation rate to 30% by early 2022. The institution has downgraded Turkey's credit rating.
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