How Turkey Is Managing Inflation After Its Currency Crisis

Lucas and Luna examine Turkey's unorthodox approach to taming inflation after the 2023 currency crisis, focusing on the central bank's real interest rate strategy and the recent $15 billion infrastructure push. With the Turkish lira stabilizing against the dollar and inflation dropping from 85% to 39%, the episode explores whether Ankara's gamble of cutting rates to fight rising prices can actually work without triggering capital flight. They also discuss how the 2023 elections reshaped economic policy and what Turkey's experiment means for other emerging markets, particularly those with high external debt. The conversation is grounded in May 2026 data showing the trade-weighted dollar declining and emerging market ETFs like EEM up nearly 4% in the last five days, signaling a potential investor shift toward riskier assets. #Turkey #Inflation #CentralBank #EmergingMarkets #Lira #MonetaryPolicy #Economics #Investment #FexingoBusiness #BusinessPodcast #CurrencyCrisis #InterestRates #Infrastructure #CapitalFlows #Macro #Finance #GlobalMarkets #TurkishEconomy Keep every episode free: buymeacoffee.com/fexingo