Posted 4/15/2024, 10:46:03 AM
Turkish Central Bank Posts $25 Billion Loss in 2023 on Lira Protection Program
- Turkish central bank suffered a loss of $25 billion in 2023, reversing years of profits
- Loss driven by higher interest rates and costs of government savings program to protect against currency depreciation
- Program allows lira depositors to get compensation for depreciation vs hard currencies
- Costs fully transferred to central bank in July 2022, previously split with Treasury
- Loss keeps focus on savings program; new officials trying to dismantle it by raising rates and encouraging lira deposits
