Erdoğan vows to never submit Turkey’s economic future to IMF

ANKARA, DEC 1: Turkey will never leave its political and economic future to the “prescriptions” of global economic institutions like the IMF, the country’s president vowed on Wednesday.

“Turkey will never again submit its political and economic future to the prescriptions of global economic tutelage institutions, such as the IMF and similar institutions,” Recep Tayyip Erdoğan told his Justice and Development (AK) Party’s parliamentary group.

The Turkish president urged calm among the public, asking them “not to stray from common sense” when buying foreign currency, setting prices, and shopping.

Erdoğan also promised additional measures to help low-income citizens “whose purchasing power has decreased.”

On intervention by Turkey’s Central Bank earlier on Wednesday, Erdoğan underlined the bank’s authority to take such action as it is governed by its own law.

“It has such a right when such a thing is necessary. The Central Bank makes such interventions and has the right to do so,” he said.

Turkey’s Central Bank on Wednesday said it has intervened in the market via selling transactions due to “unhealthy” price formations in exchange rates, according to a statement by the bank.

The announcement came amid fluctuating foreign exchange rates.

Following the move, the Turkish lira gained 6.27% against the U.S. dollar, reaching 12.65 after a historic low of 14.05

The Central Bank made its last direct foreign exchange intervention in January 2014 with a sale of $3.15 billion.