Kibkom North Cyprus Forum

Off again 7.95tl =1£ ?

Possibly because of this https://www.bbc.com/news/world-europe-48177740

If you don't at first succeed...

Sorry posted in the wrong place can someone move this to general. Thanks

Some talk it may go as high as 10

Add to the rerun in Istanbul, purchase of Russian missile system and drilling in Cyprus's claimed EEZ zone, he will soon have the world against him. So the effect on the TL will be dramatic.

So much for making the economy their top priority

Have not checked the exchange rate for about a month, as i have been busy getting ready to move over to the TRNC.

Checked the exchange rate today - WTF ....

Can someone explain to a layman what the hell is going on and where this is going to end ?

TIA.

currently at 8.04 tl to the pound on xe.com

'Where's it going to end?' If only someone had a clue.

As a matter of interest, excuse the pun, but local NC banks are I'm told, giving 23% interest on Turkish lire bank deposit accounts.

23%? can they afford to do that?

7.77777 Now.
Is 7 your lucky number?
xe.com

The further slide in the Lira was predicted a couple of weeks ago. It was widely reported that Turkey had burnt through 33% of its foreign currency reserves propping the Lira up prior to the local elections. So there is much reduced scope for Turkey to intervene on the ForEx markets to prop up the Lira.
Very bad news for Turkish Cypriots as their rents are mostly in Sterling, but good news for those whose home currency is the pound or euro.

The President cant blame dark foreign agents at work as it own people in Turkey who are dumping the TL at the moment.
This time next year the TL to the £ predicted to reach 12TL at least !

The TL is one of the most unstable currencies in the world keep away from it. I lived in the trnc from 1999 until 2016 so saw the lire interest rates at the banks escalate every month from 5% up to 11% which was lambs to the slaughter as we all cashed in out sterling and then the lira went from 2.3 to 4.5 to the £ which almost halved your initial investment and it’s no different now. They offer high interest rates at around 11% but inflation is probably at 13% so you gain nothing. Hold onto your sterling, although what will that be worth after Brexit?

7.42 now.

Tl now strengthening against the $ and £

Exchange man said yesterday, that because of the upcoming 10 day break in Turkey it will probably move to around 6.8tl to pound for a couple of weeks, then move back up again.

Seems to have stabilised these last few weeks.

7.07 against the pound
5.66 against the dollar

Trigger wrote:Seems to have stabilised these last few weeks.

7.07 against the pound
5.66 against the dollar

Be interesting to know how much of his foreign reserves he is using to achieve that

The new governor of the Central Bank in Turkey has bee told by Mr E that he wants interest rates in single figures by the end of the year so interest rates here will drop drastically. enjoy your 23 percent while you can.

Deniz1 wrote:The new governor of the Central Bank in Turkey has bee told by Mr E that he wants interest rates in single figures by the end of the year so interest rates here will drop drastically. enjoy your 23 percent while you can.

Dwindling foreign reserves will ensure interest rates will have to remain high to support the lire rate. Either interest rates are going to be high and loans are going to be expensive or the prices in the shops will be high

The lira has strengthened because the FOMC are considering a series of rate cuts.

Lira strengthens - A few potential reasons

GBP poor performance due to Brexit woes
Fed signalling Fed rate of 50 bips cut in US - makes Turkish $ borrowing cheaper
No sanctions on Turkey …...Yet
Turkish central Bank signals Base rate cut soon.

Need to stem inflation or the lira will drop like a stone on reduced rates

Looks like the never ending Brexit woes are taking its toll on the £ again.....Thanks a lot Boris!

Can't say I've noticed many places reducing their prices which were put up due to the lira going over 8 to the £!

teatime wrote:Can't say I've noticed many places reducing their prices which were put up due to the lira going over 8 to the £!

For the record MM put its prices up when the TL/Euro rate hit 7.5 back in Aug 2018. We then reduced them again as the lira recovered in November 2018 and again in Nov 2018 as it strengthen further and one more time December 2018. We then increased them again as the TL weakened again in April 2019. If it continues its recent strengthening we will reduce prices again. Then again if it weakens we will increase them.

Thanks Erol, only got just over a week before I renew - guess I have to hope for a weak Lira till the middle of August - lol. The Lira may weaken but not as much as Boris will weaken the £ that is for dead sure. Then of course once he gets (or rather Dominic gets his way) his way and UK crashes out with no deal, no signed agreements and place all his trust in Trump (who never tells a lie) then I can't see the £ being worth much at all. Time to change to Euros - at least they have a plan - lol.

waddo wrote:Time to change to Euros - at least they have a plan - lol.

Am looking at changing to NZD myself, as I am going there Jan next year. At one point several months back it touched 2 NZD to a pound. I almost bought some NZD then with my Sterling but did not (am kicking myself now). Currently its around 1.8 to the pound. Just do not want to do this change if Parliament is going to be able to block a no deal exit on 31 st. If that happens and its a pretty big if, things may perk up a bit for a while.

Sorry erol but who or what is mm i havent got a clue?

Reyntj wrote:Sorry erol but who or what is mm i havent got a clue?

My bad. MM = Multimax. An Internet company that for my many sins I work for part time.

MM is multimax

Great to see the pound slide now like to see the TL strengthen as well change my £££sss back and get the hell out !!!!!

Erol, I wish you well in NZ, would move as well but too old now and sad to say I still love it here! To be fair, I don't think it would matter if I changed my huge pot of money into Venezuelan bolívar's or Iranian rials, it would sill be worth the same and the only advantage would be that I would have sufficient paper to wallpaper my whole house - inside and out - lol. I won't do anything till after the 1st of Nov anyway unless Boris has another good idea foisted on him by his advisors and revokes 50 - the only chance now that the country has of not going down the pan for the next 20 years - so I will just sit tight and watch the lunatics at play! Take care out there.

found this interesting

https://www.bloomberg.com/news/articles ... ro-to-hero

Very interesting - if the pound keeps on its nose dive and the TL keeps gaining ground things for expats (paid in sterling pensions etc) are going to become a little tight!

Waddo
That's a laugh they have had bumper payouts for many years now !! ...

David, Then “they” must be getting a different pension than mine! What would you class as a “Bumper” payout I wonder? It won’t matter anyway, Boris is going to take us all back to the Golden Years of pre 72 when pensions never reached minimum never mind bumper, then everyone can be happy!

All the restaurants near us have put the prces up by a lot now the meals in £ are looking expensive i dont envisage they will put the price down . Plus the minimum net wage has just gne up to 2950 tl. If the tl keeps strengthening we will all have to go live on the greek side

Waddo
What i meant was that people who are getting their pensions paid in £££s where getting by ok when it was 3 or 4 TL to a £ .....since then the exchange rate has doubled so hence my referral to a "Bumper payout" ... Anyway is it that the £ is getting weaker or the TL getting stronger or a bit of both ?

waddo wrote:Very interesting - if the pound keeps on its nose dive and the TL keeps gaining ground things for expats (paid in sterling pensions etc) are going to become a little tight!

I'd be very confident on having sterling against the TL medium to long term.

David

When the exchange was 3 to 4 to the pound everything was cheaper , fuel, food etc. when it went to almost 8 to the pound- prices for everything increased dramatically. The prices have not come down accordingly.
You do not need to be a mathematician to work out the ramification of that.
Purchased at my local Yapi Market the other day on what i bought 4 price stickers the top one said 8 tl the base one said 4.5tl ???
We are being milked dry

David, Now I get it, thanks. A bit of both I think but the exchange rates Sterling to Euro tell the tale of how Sterling is doing at this time through. It seems like every time Boris opens his big bag of promises we get less Euro to the pound!

Holly, I have also noted price changes to original products - mainly in builders materials, electricals and outdoor furniture (my departments) - I have even noticed two or three price stickers on tinned goods (when I am allowed to do shopping for food) but it is a bit unfair to say "We are being milked dry" and more to the point that "Everybody" is paying over the odds for most items. I can understand why, to some extent, as most goods are imported and ordered well in advance so the seller has had to pay at the old rate and must therefore continue to sell at that rate until the next order (at the new rate) is submitted. I understand that it is about a six month cycle everytime the TL goes down but some crafty sellers will continue to sell at the higher rate for as long as they can get away with it in the hopes that they will make more profit for when the TL rate goes back up again - it's win, win if they do!

Starting to slip again, probably because of the carry on in Syria.

Currently £7.45

"Slip"...?
In May it reached 8.04, while in August it 'plunged' to 6.60....
(and thankfully it's YTL7.45 to £1, rather than £7.45 - to YTL1.00....?)

The £ has jumped 3 cents to the euro, so a possible deal on the horizon is also a factor to take into account.

jofra wrote:"Slip"...?
In May it reached 8.04, while in August it 'plunged' to 6.60....
(and thankfully it's YTL7.45 to £1, rather than £7.45 - to YTL1.00....?)

Yeah... that is what I meant