Should Turkey raise interest rates? Could she?
- Real Turkey presents its Turkey spring forecasts
- 1Q witnessed a slow but steady deterioration in economic fundamentals
- 2Q could see the economy enter stagnation
- The big mistake at home: Premature normalization
- External shocks: US bond yields, strong dollar, energy and food rallies
- Fiscal and monetary policy have little maneuvering room.
- TL likely to depreciate for the time being.
- Current account adjustment delayed to summer.
- CPI inflation could test 20% temporarily.
- Economic shocks could translate into political instability.
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