Erdogan was re-elected, the Turkish lira lost more of its value (Photo: Reuters)
Good news for importers from Turkey, a little less good for the citizens of the country that elected Recep Tayyip Erdogan last night, at the end of a second round of elections, for another term: the Turkish lira, which lost nearly 80% of its value (against the dollar) during the previous term, crashed after Erdogan's victory in the second round was announced.
It is a little difficult to understand the sentiment that gripped the markets in the face of Erdogan's victory, since it was expected - and yet, when the official results were announced and the Turkish president's parrot joined in his victory celebration, the Turkish lira began to lose value sharply - crossing the 20 Turkish lira to the dollar threshold.
Erdogan's supporters are jubilant after the publication of the results of the sample that heralded his election victory. The people of Turkey are already paying dearly for the president's policies (Photo: Reuters, Dilara Senkaya)
Is this what is expected to be considered?
This may be the place to mention that the early days of Erdogan's rule in Turkey were characterized by economic growth and prosperity, but this situation reversed as Erdogan strove for the status of sole ruler and limited the media, supervisory mechanisms, and courts. A preview of what can be expected of the Israeli shekel in similar circumstances? Time will tell.
In the meantime, it is possible to take advantage of the situation in which the exchange rate of the Turkish lira is low, which does reduce the price not only of goods for those who purchase them in Turkish lira and sell in shekels or dollars, but also of independent tourism in Turkey (even though most vacationers from Israel vacation there in an organized "all-inclusive" style).
- World money
- Turkish Lira