Hot money got a painful blows. But they need to finance their current account. How will they do that after such move which sparks great distrust...
LOL he's a classic... At this point, it's another IMF loan or vicious default wave/collapse. Maybe little putin or winnie from china will " lend " the turks, they need something fast... Reading on there state of economy, there in a serious recession and not even close to bottom yet
http://www.hurriyetdailynews.com/imf-chapter-will-not-be-reopened-says-erdogan-141029 You are right... And he seems intent on not going back, wonder how is it gonna work for Turkey going forward
https://ahvalnews.com/turkish-economy/turkey-spiralling-deep-economic-crisis-daily-telegraph Turkish banks began lending in the market again on Thursday and rates returned to levels of as low as 50 percent, but the lira slumped more than 5 percent after central bank data showed that its reserves had fallen by almost $10 billion in three weeks. Turkey needs to repay or refinance roughly $150 billion of short-term debt within 12 months, while the net reserves of the central bank has fallen to $26 billion, the Daily Telegraph said.
OMG, credit risk in bonds should rocket I think the country and corporate borrowers will default very soon because it's a huge mistake in relationship with foreign investors.
Is Erdogan so stupid and short-sighted to kill the economy in exchange for short term political gains?