Turkish Lira Steadies
2025-09-15 13:42
By
Joana Taborda
1 min. read
The Turkish lira steadied around record lows of 41.2 per USD in mid-September after a court postponed until October 24 a ruling on the leadership of the main opposition Republican People’s Party.
The case, centered on alleged irregularities in the party’s 2023 congress and the removal of its elected leadership, had initially been scheduled for September 15.
The delay provided some momentary relief to investors concerned about political instability, with banking stocks—among the hardest hit—leading the recovery.
Separately, hundreds of CHP members, including Istanbul Mayor Ekrem Imamoglu, President Erdogan’s chief political rival, remain in detention pending trial in a wide-ranging investigation into alleged corruption and terrorism links.
On the monetary front, the Central Bank of Turkey cut its benchmark one-week repo rate by 250 bps in September to 40.5%, slightly below expectations of 41%.
Annual inflation eased to 32.95% in August while GDP expanded 4.8% yoy in Q2 2025.