Turkey 10-year Bond Yield at Record Levels
2025-03-24 10:32
By
Joana Taborda
1 min. read
The yield on Turkey's 10-year government bond surged past 31%, its highest level since at least 2010, before easing slightly, as investors continued to pull away from Turkish assets amid escalating political turmoil.
Istanbul’s mayor, Ekrem Imamoglu, one of Turkey’s most prominent politicians and President Erdogan’s chief rival, was formally arrested and sentenced to jail on corruption charges.
His recent detention, coupled with the revocation of his university diploma, is expected to bar him from challenging Erdogan in the upcoming elections, triggering widespread protests and a sharp sell-off in Turkish markets.
Imamoglu had been the frontrunner for the Republican People’s Party (CHP) presidential nomination, representing the main opposition.
In response to the turmoil, Turkey’s central bank raised its key overnight lending rate by 200 basis points to 46% in an emergency move last week and has been engaging with top lenders in an effort to stabilize markets.