If there is something that does not come to my mind during my school years; I used to think, “Am I just smart, these guys must know something since they live there”. The years have shown me that those guys didn’t know much.
Turkey, the land of imbalances in the money markets… The biggest mistake in the economy is to think that everything can happen at the same time… Behind the driver and by the window… Oh what a…
Let me restrain the increase in the current account deficit while keeping the exchange rate low… It was not enough, let me reduce the interest while borrowing at a high rate. even more moneyLet me prevent inflation from rising while I press…
Does such a world exist? In fact, we saw that it was not…
How will banks sell dollars?
As of January-November period, total exports are 231.2 billion dollarwhile imports are 331.1 billion dollarsand foreign trade deficit of 99.9 billion dollars reached. Current account deficit 40 billion in dollars… As you can see, there is no such thing as a miracle formula…
This table shows us that there is a serious need for foreign exchange.
The power is within us! Citizen your dollarIf it does, get the resource you need, it’s already here…
If you tell the citizen to cash it, they won’t, but don’t do everything yourself. Tell the banks, if they don’t cash it, let them know that I will fine you… Look, the problem is the banks’ problem from now on…
What will banks do? He will try to guide his customers. Interest won’t. It will not open an account. If it is not enough, he will look at those who want to make foreign currency deposits. He will sigh with regret. He will gossip. He will nag. He will condemn. As long as dollardon’t demand it.
What will he do with Turkish Lira?
How long will this thing take?
The person who deposited 100 lira in the bank in November last year of his moneypurchasing power, interest Even if we add it, 61 liras decreased to 89 cents. who why his moneywould you make a deposit?
In this case nobody TL does not save. Consumption and inflation continue to rise. As a matter of fact, the cost of consumption is negative. TLin its place money It goes to foreign exchange, real estate, gold and the stock market. That’s what happened. Among them, only foreign currency was restrained. It was still very cheap.
In countries with mild or strict capital controls, economic units, from exporters to tourism professionals, from citizens to companies, tend to exclude foreign currency without introducing it into the system. So the main danger of moneyor the gold slips out of the system and under the pillow.
Despite the decrease in foreign currency deposits in recent days, the fact that TL deposits and Currency Protected Deposit balances have not increased makes one work…
The magic of the economy is in sustainability. You give the gas, you shine like a straw flame. What will you do when you run out of gas? You will be on foot.
It is not possible to stop people’s demand for foreign currency in Turkey with pressure on banks or other control measures. Citizens’ demand for foreign currency or gold is a matter of trust in money.
Because the Venezuelan and Argentinean economies have experienced this situation. Get it and read it.
Money will be scattered everywhere!
So why did I write all this?
Due to the election, huge amounts of money from all branches will be introduced to the market… 100 billion dollars of public banks to liraEven the demand for a close capital increase shows us its intention… From the increase in the minimum wage to the EYT, the re-introduction of the Credit Guarantee Fund…
They say it is subject to control when giving loans, but what will the seller of the machine or house do with the money?
It can be managed for a while with the money coming from both Arabs and Russians. In fact, this period can be extended with the postponement of the gas bill of approximately 20 billion dollars to Russia. Because after the election, the job can go to many different places.
When quality money does not come from outside, we try to create an economy model with limited internal resources… We roll the dice at the gambling table where we have no chance to win. Come on baby bone…
