Deutsche Bank: If political unrest continues, the Turkish Lira may fall.

Jin10 data reported on March 31 that Tatha Ghose, an analyst at Commerzbank, stated that if protests and political uncertainty continue following the detention of Turkey’s President Erdogan’s main rival, Ekrem Imamoglu, the Turkish lira may weaken. This would have negative international implications for Erdogan. In this scenario, daily interventions and management of the lira will be costly, and the lira will continue to depreciate, driving up inflation. Commerzbank has raised its forecast for the USD to TRY exchange rate to 42.0 by the end of 2025, and to 46.0 by the end of 2026, up from previous forecasts of 38.0 and 40.0 respectively.