Alarming Forecast from Major British Bank: Controlled Depreciation of the Turkish Lira

Barclays analysts predict that Turkey’s economic management may allow the Turkish Lira to lose value during the summer. The analysis also shared the expectation that the policy interest rate in Turkey will remain unchanged throughout 2024.

In a previous analysis on Turkey, Barclays had upgraded its recommendation on Turkish bank bonds.

According to BloombergHT, the analysis stated, "We find Turkish bank bonds attractive compared to other bank bond markets in the EEMEA region, including the Gulf." Barclays highlighted the high carry yield in the perpetual bonds of Turkish banks, recommending buying Akbank and Yapı Kredi perpetual bonds.