The plunge in the Turkish lira and dislocation in local markets in recent weeks has resulted in a severe tightening of broader financial conditions. Past experience suggests that a tightening on the scale seen so far is likely to be followed by a sharp slowdown in year-on-year GDP growth of 7-8%-pts.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services