Turkish Lira Approaches Record Low Level

The Turkish lira has fallen to a record low level, nearing 20 lira against the dollar, on Friday, ahead of the presidential runoff elections taking place on Sunday, which will determine whether President Recep Tayyip Erdoğan will extend his rule into a third decade. As of 04:13 GMT, the lira was recorded at 19.9845 against the dollar, slightly retreating from a record low of 19.9950 in early trading. Turkish equities and dollar-denominated sovereign bonds have declined, while the cost of insuring against Turkish debt defaults has risen since the first round of presidential elections held on May 14. Erdoğan significantly outperformed his main rival Kemal Kılıçdaroğlu in the first round but failed to secure more than 50 percent of the votes needed to avoid a runoff.