Turkey’s Central Bank halted interest rate cuts yesterday by announcing an increase from 8.5% to 15%, with Erdogan changing his own economic policy following his election victory.

Yesterday, the Turkish lira suffered a new devaluation, falling by 6%, as SKAI correspondent Manolis Kostidis reported from Istanbul.

Analysts wonder “why have we suffered for two years?”.

The financial analyst Front Bucky he said: “If we lived in a normal period we would say that interest rates rose to 15%. We would say that it is 6.5% higher and that it is a big increase. But we don’t live normal things under normal conditions, that’s why we say the increase is small. However, people are right to ask themselves: What have we experienced in 2 years? Why did we experience this? Why are you paying so much rent for your house? Why are schools so expensive? Why are wages not enough even for food? People don’t leave their houses, they don’t talk. They are struggling. And now they are right to say ‘you told us interest rates would not rise’. Why did they increase?”

THE Ismail Memis, financial analyst, said: “We cannot be optimistic about the future. The period is coming when we will tighten the belt. We will be restrained. It is important that foreign investors come.”

Turkish media: Erdogan said two years ago that he would lower interest rates

The Turkish president spoke of “blackheads” who want to raise interest rates, media reported.

FOX TV anchor Fatih Orange reported: “On April 21, 2023, Erdogan had started a sentence and said ‘as long as this brother of yours exists.’ I will have you see all the statements. I know that there is a part of society that does not question, does not interrogate. But, you and I ask ourselves, does this matter. And of course it has value so we don’t forget! Listen to him.”

THE Erdogan he said: “As long as this brother of yours is in power, interest rates cannot go up. Interest rates will continue to fall. In America interest rates can rise, just as in Europe they can. However, they will fall in Turkey. And you will see that along with interest rates, inflation will also fall. We will not sacrifice the vision of the ‘Century of Turkey’ to the wishes of a few black people.”

Meanwhile, at United Arab Emirates it was the first visit of the Turkish finance minister.

Shock in Turkey over the US reaction to the S-400

Washington does not apply sanctions and says it trusts India, while Ankara was excluded from the S-400 program, Turkish analysts comment.

The comment on the CNN Turk news bulletin: “The Pentagon was asked the following. Why is the US sanctioning Turkey for the S-400 and not doing the same to India? The Pentagon’s deputy spokeswoman said that ‘there are two different cases here and we trust the process of increasing the diversity of India’s weapons systems.’

The US contradiction in its policy on the S-400 issue was revealed at the press conference at the Pentagon.