German bank: The risk of interest rate cuts by the Central Bank of Turkey will cause the lira to continue fluctuating

On September 19, Jinshi Data reported that due to the risk of Turkish President Erdogan once again calling for a rate cut, the Turkish lira remains unstable, according to Deutsche Bank. Tata Goss, a currency analyst at Deutsche Bank, said in a report that due to Inflation remaining high, the Turkish Central Bank is unlikely to cut interest rates at the moment. He said that the credibility of the Central Bank's policy is increasing, which may ultimately help the lira. "However, the main risk is that if achieving political victory quickly becomes a top priority, such as holding early elections, then the political leadership will lose patience and disrupt this restrictive policy combination."