Turkey: shaky economy destabilises Erdoğan’s authoritarian presidency

All is not looking rosy for Recep Tayyip Erdoğan, Turkey’s authoritarian president. Once feted for presiding over what was generally considered a regional success story, his stock is falling rapidly as the economic problems faced by his country pile up.

In November, the inflation rate in the country soared to 14.03%, 1.5 points over the expected level and a 15-month high. The latest figures reflect a 2.3% rise in monthly consumer prices – and, ominously, the most significant price increases are for basic day-to-day necessities such as food, non-alcoholic beverages and transport.

Meanwhile, the country has been experiencing another – and possibly more severe – crisis in the form of the devaluation of its currency. The falling value of the Turkish lira is not news – this has been happening for years. But the rate of decline has been notably dramatic this year as the lira has reached record lows against major currencies. Since the beginning of 2020, the currency has lost nearly 30% against the US dollar and more than 30% against the euro.

In response, Erdoğan dismissed Murat Uysal, the head of the Turkish central bank, while his own son-in-law, Berat Albayrak, unexpectedly resigned as finance minister. While the lira rallied slightly after these developments, the currency remains in the doldrums.

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Πηγή: theconversation.com