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[Economy] What went wrong for Turkey? Its economy is 'in the midst of a perfect storm'2018-08-14 13:56:03조회수:402

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Written in Aug 14, 2018


Summary

- Turkey has in recent years been one of the fastest-growing economies in the world, but its impressive growth numbers were fueled by foreign-currency debt.

- The country's borrowing resulted in deficits in both its fiscal and current accounts, and Turkey doesn't have large enough reserves to rescue the economy when things go wrong, experts say.

- Making the situation worse for Turkey is President Recep Tayyip Erdogan's preference to keep interest rates low even though inflation is more than three times the central bank's target.
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