ISTANBUL: The Turkish lira sank to a fresh record low against the dollar on Friday, as it remained under pressure due to expectations that the central bank may cut interest rates as early as next week.

In afternoon trading on Friday, the lira fell to as low as 2.43 to the dollar after hitting a record low of 2.41 late on Thursday.

Against the euro, the currency lost 0.8 per cent in value to trade at 2.75 lira to the euro.

The currency has been under pressure since the governor of the Turkish central bank hinted on Tuesday that the bank could hold an extraordinary meeting as early as next Wednesday to cut rates.

“As a result of rate cut expectations, the lira remained under depreciation pressure,” Finansbank economist Deniz Cicek said.

Published in Dawn January 31st, 2015

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