Middle East

Turkish currency slumps due to its infusion into northern Syria

ISTANBUL, Turkey (North Press) – Analysts interested in Syrian and Turkish affairs connected the slump of the Turkish lira to Turkey's infusion of its currency in regions of northern Syria.

Last month, the official Turkish Post Center in Turkey (PTT), which has a branch in Idlib, northwestern Syria, began infusing large quantities of Turkish currency into the area in an effort to secure the growing demand for it. Local exchanges began replacing the Syrian pound with the Turkish lira.

Turkish opposition parties have expressed their strong indignation at the move to infuse the Turkish currency into northern Syria.

For several weeks, the Turkish lira has witnessed a clear collapse in front of hard currencies, especially the dollar (USD), after its exchange rate reached 7.30 Turkish lira for purchase, and 7.50 Turkish lira for sale, in an unprecedented collapse.

Ubaida al-Omar, a media activist and follower of Turkish affairs, told North Press that Turkish currency has undergone negative changes for more than two years in comparison with the dollar, and this is often due to the Turkish military incursion into regions outside Turkey.

He added, "Turkey's injection of its currency in northern Syria was not part of a deliberate plan. It was an opportunity that Turkey took advantage of without considering the extent of its negative impact on the current value of the lira, as it aspires to the future. The northwestern regions of Syria will become like a huge Turkish province and will contribute to the Turkish economy."

"The decline of the Turkish currency is currently linked to Turkish interventions in Libya, Syria, and oil exploration in the eastern Mediterranean. All of these things are being done by Turkey despite the great powers that will try to weaken the Turkish currency," he added.

In a recent statement, Turkish President Recep Tayyip Erdogan called for locals not to worry about the economic crisis' effects on the Turkish economy, stressing that Turkey does not have any foreign debts and that the Turkish economy continues to grow and is growing many times over.

Economist, Samir Tawl, told North-Press that the country's biggest mistake was imposing the Turkish currency as the official currency in northern Syria, especially as it has become like Syrian currency and witnesses great fluctuations in the exchange rate in comparison with the dollar.

Tawl explained, "The reason is that Turkey's dollar resources have decreased due to coronavirus and tourism has stopped. If the global economic situation does not improve and the outbreak of coronavirus doesn’t stop, neither the Turkish economy nor any economy in the region will improve."

“Turkish currency is still affected by the pandemic, because Turkey relies heavily on tourism. At the same time it depends on the process of trade exchange, whether with the Syrian interior or with other countries. In this crisis, tourism has declined and all economic indicators have declined," he added.

The Syrian government expressed, on the thirteenth of last month, its strong anger and discontent at the infusion of the Turkish currency in northern Syria, accusing Turkey of seeking to “Turkify the region and occupy it economically.”
 

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