The Central Bank of the Republic of Turkey will announce its May interest rate decision today. While the exchange rates continued to rise before the decision, the eyes of the markets were turned to 14.00.
While TL has lost more than 8 percent against the dollar since the beginning of the month, the loss has approached 19 percent since the beginning of the year. According to the calculations made by the bankers from the leading data, the foreign exchange supply made by the CBRT to the market from its reserves in May obviously has an increasing trend compared to the first 4 months of the year.
Therefore, the CBRT’s own foreign exchange reserves, which are already negative, are melting more and more each day in the current exchange rate policy.
With the prestige of May 13, the CBRT’s total reserves fell below $102 billion, and international net reserves fell to $11.5 billion. Reserves excluding swaps, on the other hand, declined to minus 52 billion dollars in a one-to-one period, once again approaching minus 60 billion dollars, which brought about great political and economic changes before.