World News

Turkey's Erdogan replaces treasury minister amid steep decline in lira value

By UPI Staff   |   Dec. 2, 2021 at 12:49 PM
A man sells Turkish flags on Thursday outside a currency exchange office in Istanbul, Turkey, on the same day that Turkish President Recep Tayyip Erdogan appointed Nureddin Nebati as treasury and finance minister. Photo by Sedat Suna/EPA-EFE

Dec. 2 (UPI) -- Turkish President Recep Tayyip Erdogan announced a new finance minister on Thursday after the last man in the post resigned amid a steep decline in value of Turkey's national currency.

Erdogan named Nureddin Nebati to the post as the successor to Lutfi Elvan, who was asked to resign after about a year in the job.

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Since the start of 2021, the Turkish lira has lost about 40% of its value. About 13 liras are equal to the U.S. dollar.

Nebati has been a deputy minister for three years in Turkey's treasury and finance ministry. He's studied international relations and public administration and has shown support for Erdogan's favored policy of low-interest rates to control inflation -- a strategy that runs counter to what most economists believe.

Elvan resigned from the post after Turkey's central bank announced a policy of intervening in currency markets to steady the lira.

Inflation in Turkey is presently running around 20%.