Turkish Lira hit a record low after rumors of Finance Minister resignation – Shafaq News

Shafaq News/
On Monday, the Turkish Lira dropped against the US dollar, fueled by widespread
rumors that Treasury and Finance Minister Mehmet Simsek had resigned.

The Lira
plunged to an all-time low of 34 to the dollar during today’s trading session,
marking a dramatic decline of over 12% since the start of the year.

Market
analysts attributed the sharp drop to reactions spurred by unconfirmed reports
of Simsek’s departure, which rapidly circulated across social media platforms.

In response
to the market chaos, Turkiye’s Capital Markets Board announced it had launched
an investigation into the social media posts alleging Simsek’s resignation,
contributing to a steep decline in the Istanbul Stock Exchange. The regulatory
body scrutinizes accounts that may have misled investors, leading to financial
losses.

Simsek, who
took charge of Turkiye’s economic strategy in mid-2023, has been part of a
technocratic team focused on moving the country away from previous unorthodox
economic practices that prioritized growth over price stability.