The lera has lost nearly 50 % of its dollar value in just two months. The root of the problem is president rachep ti erdan's notoriously upside down view on monetary policy, that high interest rates cause inflation. Pyotr zalevsky is the economist's turkey correspondent and is based in his tumble.
President Recep Tayyip Erdogan’s idea for saving the lira by backing deposits with dollars means the Turkish taxpayer will end up bailing out the Turkish depositor. Our correspondent finds striking insights in 40 years’-worth of humdrum submissions to a unique sociology project. And Saudi Arabia’s multi-billion-dollar push into the cinema industry it outlawed for decades.
For full access to print, digital and audio editions of The Economist, subscribe here www.economist.com/intelligenceoffer