Turkey Africa/Mediterranean

摘要

Domestic political uncertainty and the prospect of rising interest rates in major economies are raising concerns of currency volatility later this year. The lira has already depreciated by around 16pc against the US dollar since January. Turkey is still negotiating on the formation of a coalition government, after no party won an overall majority in 7 June elections. The possibility of further elections later this year remains high. And major banks, such as the US Federal Reserve, are poised to start to increase interest rates, while the recent devaluation of the Chinese yuan raises the prospect of increased currency competition.