Turkish lira hits highest value against US dollar in 6 months

ISTANBUL

The Turkish lira has continued its rally against the US dollar on Monday, hitting the highest value in the last six months, thanks to the country's pledge to open a new era in its economy.

Traded for 6.9979, the US dollar/Turkish lira exchange rate has seen its lowest level since Aug. 5, 2020, triggered by President Recep Tayyip Erdogan's announcement of an ambitious slate of economic and legal reforms last year, Turkey's new economic management team's market-friendly moves and Central Bank's tight monetary policy stance prioritizing price stability.

Turkish lira's gaining ground against other currencies was accelerated by normalization steps taken by Turkey's banking watchdog, Central Bank's return to policy orthodoxy, and effective use of credibility and communication channels.

The US dollar/lira rate peaked at 8.5832 last November.