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Erdogan doubles down on economic policy amid currency volatility

Turkish President Recep Tayyip Erdogan reiterated his stance against interest rate hikes Monday, sending the Turkish lira down 4% as the nation’s economy faces high inflation.
A man walks past a fruit seller at Eminonu district near Spice Bazaar in Istanbul, on Nov. 24, 2021.

ISTANBUL ­— Following a volatile week that saw Turkey’s lira fall to record lows against major currencies, Turkish President Recep Tayyip Erdogan on Monday doubled down on rhetoric against interest rate hikes and defended a current policy track that he says will boost economic growth.

While speaking to reporters on a flight back from Turkmenistan, Erdogan reiterated his unorthodox claim that lower interest rates would eventually curb inflation, a stance contrary to mainstream economic theory.

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