Investors and analysts alike warn that Turkey could be veering closer to a currency crisis, owing to rising inflation that has chipped away at the lira’s value and upcoming debt payments denominated in foreign currency. Such a scenario spells serious trouble for Erdogan’s government which has seen its approval ratings dip in the last year.


Guldem Atabay, a Turkish economist from the western city of Izmir, says that the country is not yet inside a currency crisis but one’s specter is casting a dark shadow over Turkey’s economy.


“We are not in a currency crisis right now, but definitely it will be in one,” Atabay said in a recent podcast interview with Ahval News.