Turkey Forgets Lesson It Taught Russia on Ending Market Rout
- Russia needed emergency rate hike in 2014 to stem ruble crisis
- Plunging lira is putting pressure on central bank to act soon
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Turkish President Recep Tayyip Erdogan shouldn’t forget the time he taught Russian leader Vladimir Putin how to manage a currency crisis.
When the ruble was plunging in 2014 and the Bank of Russia was moving slowly to steady it, economists pointed to the Turkish central bank’s emergency increase in interest rates during a late-night meeting at the start of that year as the right way to handle a currency run.