Turkish Lira Falls to Record, Defying Efforts to Stem the Slide
- Regulator bans local banks from trading with global lenders
- Investors are concerned about fall in central bank’s reserves
A foreign exchange bureau in Istanbul in March.
Photographer: Kerem Uzel/Bloomberg
This article is for subscribers only.
Turkish regulators banned local banks from trading with Citigroup Inc., UBS Group AG and BNP Paribas after currency interventions and a stiff new raft of anti-manipulation rules failed to stem the Turkish lira’s slide to a record low.
President Recep Tayyip Erdogan has laid the blame for the lira’s decline on foreign speculators, and the tough new rules unveiled Thursday by the banking regulator run the risk of making the nation’s currency and swaps market even less liquid.