‘Where is 128B?’ Turkish President Recep Tayyip Erdogan | Banks News

This amount refers to the dollars sold by Turkey’s state banks to support its lira currency in foreign exchange markets.

“Where’s the 128 billion?” Turkey’s main opposition president, Recep Tayyip Erdogan, and his ruling Justice and Development Party (AKP) wanted posters on billboards around Istanbul, addressed by Turkey’s main opposition, embarrassing and upsetting them.

Gambit seems to have worked. According to a video shared online by the opposition Republican People’s Party (CHP), police in some cases lowered the posters using cranes, saying it would hold them back.

The question also spread on social media, when one by one on Tuesday called on a CHP to debate the missing funds in Parliament.

The sum refers to the dollars sold by state banks to support the Turkish lira in foreign exchange markets. The obsolete policy began around the 2012 municipal elections and spread to 2020, when the coronavirus epidemic weighed heavily on Lira and Turkey’s reliance on external funding.

Bankers have calculated that sales in 2019-20 totaled 128 128.3bn.

Erdogan said sales have helped boost the economy, but they have sharply reduced Turkey’s foreign reserves, putting it in further crisis, and opposition politicians want to know more.

“[Erdogan] On Tuesday, CHP leader Kamal Kilikadaroglu accused party members of arguing, telling party members, “You can’t even question me.” “Those who are leading the country must give an account to the people.”

Kilikdaroglu said a prosecutor had ruled that some of the posters emblazoned on the presidential palace were an insult to Erdogan. Insulting the President is a crime in Turkey

Weak lira

The lira, which has lost more than 50 percent of its value since the end of 2013, traded against the dollar against the US dollar between May and August 2020, which economists blamed on forex sales. It later hit a record low of 8.58 in November after sales closed. The lira traded at 6.07 on Wednesday.

The CHP first raised questions about the sale in February, urging Erdogan to protect his son-in-law, former finance minister Berat Albayrak’s legacy of policy observation.

Ilbayrak abruptly resigned in November when Erdogan nominated Nasi Agbal as governor of the central bank, who backed the sale of the dollar in exchange.

Agal was replaced last month after Erdogan expressed frustration with the bank’s probe into the sale, which cut its net foreign exchange reserves by 755 percent last year, according to the Robita news agency.

The net buffer was ২ 2.8 billion on April 2, the lowest in at least 18 years, according to central bank data. Except in arrears swaps.1 41.1bn, reserves are deeply negative.

AK lawmaker Mostafa Savas said the sale had helped Turkey avoid raising interest rates or seeking help from the International Monetary Fund.

CHP asked how the sale was conducted and at what rate. AK lawmaker Nuretin Kanikli said they were all managed at market rates.

Can Koftansioglu, head of CHP’s Istanbul organization, said only a fraction of the িয়ন 26 billion could support the Turks through a 28-day coronavirus lockdown that prompted the team to face intense pressure over the infection.

“They will never stop us from asking this question,” he said, adding that posters would be hung outside the CHP building until answers were provided.

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