CDs, called a risk premium, shows beliefs in the Turkish economy, has decreased.
After postponing the CHP case until October 24, CDs have dropped to the lowest level in the past 5 years with the abolition of short -term uncertainty and expectations related to monetary policies continue to be reasonable. Therefore, awareness of risks begins to reduce CD.
What does CD reduce? With the withdrawal of CD, Türkiye's external loan costs will decrease and the trust of foreign investors in Türkiye may increase. Increasing the ability to find loans with interest rates lower than abroad can lead to an industrial reaction. The withdrawal on the CD side offers a national risk improvement, low loan costs and investors' beliefs.
