Skip to content

Erdogan’s Move Comes Too Late to Save 2021 for Turkish Debt

  • Country’s sovereign debt headed for worst year since 2013
  • Corporate debt is third-worst in emerging markets this year
A street vendor sells Turkish simit bread on Taksim Square in Istanbul, Turkey.

A street vendor sells Turkish simit bread on Taksim Square in Istanbul, Turkey.

Photographer: Moe Zoyari/Bloomberg

For Turkish sovereign and corporate debt, Monday’s emergency measures to tackle the lira’s meltdown have come too late to rescue a painful 2021.

Investors have lost 7.8% on the country’s dollar-denominated sovereign debt this year, compared to 2.9% across emerging markets in the worst performance since 2013. Meanwhile, corporate debt holders have lost 1.7%, the sixth-most globally, according to Bloomberg indexes.