The Turkish Ministry of Treasury and Finance announced that the Finance Minister, Muhammad Shimashk, and the Governor of the Central Bank, Fatih Qara Khan Sijri, today, Tuesday, a phone call with international investors after the markets witnessed turmoil as a result of the arrest of the mayor of Istanbul, Akram Imamoglu, in continuous efforts from Ankara to calm market fears.
The police arrested – last Wednesday – Ihsanoglu, who is from the opposition Republican People’s Party, and on Sunday, a court sentenced him to trial on charges related to corruption in a move that sparked protests in Türkiye.
The Ministry of Treasury and Finance explained that the phone call will be held at 13:00 GMT and will be hosted by City Group and Deutsche Bank, to “evaluate the latest developments in the Turkish economy.”
https://www.youtube.com/watch?v=qp6I5B-j7ky
Market disturbance
The arrest of Imamoglu caused a turmoil in the markets, which resulted in severe declines in the Turkish lira, stocks and bonds, and also sparked objections from the main opposition party (the Republican People’s Party), European leaders and thousands of demonstrators.
The main index of the Istanbul Stock Exchange was closed by about 3% in the session yesterday, while there was no significant change in the price of the lira against the dollar.
In the latest transactions, the Istanbul BIST 100 index increased by 3.84% to 9656 points.
The Ministry of Treasury and Finance, the Central Bank, the Banking and Banking Control Authority and the Capital Markets Authority held a series of meetings with the actors in the market during the past few days and took several measures, including:
- Raise the price of the lending for one night by two percentage points to 46%.
- Sell about $ 14 billion in foreign currencies.
- The Turkish Capital Markets Authority banned the open sale on the Istanbul Stock Exchange.
- The restrictions of shares and the requirements of the shareholders ’rights are reduced to the net assets until April 25.
