Turkish Lira "Equivalent" to Egyptian Pound after Hitting All-time Low

The Turkish lira hit an all-time low on Thursday, coinciding with the Turkish Central Bank's decision to cut interest rates for the fourth time by 100 basis points.

Today, the Turkish lira recorded 15.60 against the dollar, equivalent to one Egyptian pound.

The US dollar has more than doubled its value against the lira this year, severely shaking the emerging Turkish market.

Today's declines come after a decline of about 2.8% against the dollar yesterday, Wednesday, affected by the reduction in domestic interest rates, which was expected.

The Monetary Policy Committee of the Central Bank of Turkey cut the basic interest rate by 100 basis points to 14%.

The central bank has cut interest rates by about 500 basis points since last September, while some similar central banks have raised interest rates to curb the increase in inflation rates.

The lira had lost a third of its value only this year and hit its weakest level ever on Friday at 11.32 liras, in the eighth consecutive session of record declines.

Meantime, Turkish President Recep Tayyip Erdoğan have said earlier that "low currency means more tourism and investments", however, a lower currency is the biggest loss for the locals, as it leads to higher inflation.

Traders, and investors in North Syria could flip to other major currencies, while other in the south could turn to the Egyptian pound, which now hold the same value as the Turkish lira, especially in light of the new Egyptian city in Gaza, and other development projects in Sinia.