, Columnist
Turkey Won’t Fool Investors Twice on Rates
This unhelpful policy surprise means things can only get worse for the lira and the Turkish bond market.
On his way to ruining the economy.
Photographer: Arif Akdogan/BloombergThis article is for subscribers only.
If ever there was any doubt that Turkish President Recep Tayyip Erdogan would live up to his electoral promise to take control of monetary policy, there is none now.
About the best thing that can be said for the central bank’s surprise decision to leave the key rate unchanged is that at least they didn’t cut it — after his election Erdogan said that it would fall. Still, he has put his country in a terrible position. Turkey really is uninvestable if its central bank cannot get a grip on runaway inflation.