The Turkish Lira is on its way to 2024 with the lowest annual decline since 2020

The Turkish lira is on its way to 2024 with the lowest annual decline since 2020, powered by the efforts of the authorities to increase the real value of the currency, and attract investors through interest transactions amid high interest rates. The lira fell 16.5% against the US dollar this year. At 11:04 p.m., the time of 35.36 per dollar, with 0.1% action during the day. The exchange rate of the Lira against the US dollar is often seen as an indication of the strength of the Turkish economy by local investors. After being one of the most volatile currencies in the emerging markets, the lira has been a gradual recovery in terms of real value since the big decline during 2021, when he lost almost half its value to the US dollar. Through the actual value strategy, the Turkish central bank aims to keep the currency losses less than the inflation rate in türkiye, in the hope of reducing inflationary pressure by limiting the transfer of the effect of the currency weakness to prices. This policy has led the real exchange rate based on the consumer price index to its highest level since February 2021, according to November data. The central bank in the country indicated that this approach will continue next year. In the 2025 monetary policy report, released last week, the bank emphasized that the assets denominated in the lira will remain attractive to investors, supported by the expected ongoing continuous the rate of inflation in Türkiye.