Erdogan orders probe into Turkish lira’s slump

Turkish President Tayyip Erdogan has ordered an investigation into possible currency manipulation after the lira fell sharply to record lows against the dollar this week.

The lira plunged to record lows this week after Erdogan pledged to stick with a policy of easing interest rates. It has lost as much as 45 per cent of its value this year, with about half of those losses in the last two weeks.

Turkey’s currency fell as far as 13.45 to the dollar in a historic 15 per cent selloff on Tuesday that followed a speech in which Erdogan defended the central bank’s move to slash its policy rate to 15 per cent, despite inflation of 20 per cent.