Turkey's ailing financial markets and foreign exposure

Reuters , Jun 21, 2018
by Karin Strohecker, Tommy Wilkes

Turkey heads to the polls on Sunday to vote in parliamentary and presidential elections, with President Tayyip Erdogan widely expected to be re-elected to an office that will be given sweeping new executive powers.

Once a darling of emerging market investors, Turkey has seen its star fall dramatically in recent years, hit by mounting concerns about a build-up of debts and Erdogan’s outsized influence over monetary policy.

Those worries have coalesced this year into a market rout, with Turkish assets suffering massive falls and prompting a wave of criticism by the government against foreign speculators.

Below are five charts that illustrate the recent selloff and foreign investors’ involvement in Turkey’s $864 billion economy:

To continue reading, click here