Turkish lira losing more value with Erdogan's party loss of major cities

The Turkish lira on Monday witnessed a new collapse due to the loss suffered by the Justice and Development Party led by Recep Tayyip Erdogan in the municipalities of several major cities, where they lost 1.5 percent of their value.

 After the failure of the AKP led by Recep Tayyip Erdogan in the municipalities of several major cities in the country, following the initial results of the local elections, the Turkish lira lost 1.5 percent of its value on Monday.

The currency fluctuated sharply and the Turkish stocks and bonds were being sold the previous week before the municipal elections.

The data released on Friday showed that Turkey's central bank reserves of foreign currency fell by a third last month, while Moody agency described on Monday the erosion of foreign exchange reserves as "negative on credit."

Moody's said, "Turbulence renewed in the Turkish financial markets and increasing the uncertainty about the political situation on the ongoing recession increases the risk of the capital flight."

Erdogan's Justice and Development Party (AKP) has lost Ankara's municipality for the first time since more than two decades, while the power and opposition parties have so far announced their victory in the Istanbul municipality.

The Democratic Peoples' Party has made significant progress in a number of the country's large municipalities.



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