The Turkish lira hit new low beyond 7.5020 against the dollar on Wednesday, as unease about the economic outlook persisted amid a Moody’s downgrade rating.
The Turkish currency, which weakened 21 percent this year, touched a low of 7.5020 against the US dollar.
Recently, it has edged lower and has been hit this week by a Moody’s downgrade of the sovereign rating to ‘B2’ from ‘B1’.
On Tuesday, Reuters reported that debt-laden Turkish companies are seeking more time to repay bank loans after the coronavirus pandemic upended plans to sell assets, according to sources with direct knowledge of the matter.
Last Wednesday, Finance Minister Berat Albayrak was reported as saying that Turkey can capitalize on the legacy of the global coronavirus crisis by putting a competitive lira at the heart of a new strategy to move to a more export-focused economy.