Dollar and Euro Exchange Rates: September 30, 2024
The week begins with stability in the foreign exchange market, as the dollar and euro maintain a steady trend. On September 30, 2024, the dollar is priced at ₺34.18, while the euro stands at ₺38.20 in interbank trading. As global markets adjust to economic shifts, Turkiye’s economy continues to attract attention amid rising inflation, external debt, and investment activity.
Key Figures on Foreign Exchange Rates
- Dollar/TL: 34.18
- Euro/TL: 38.20
These figures represent the ongoing trend as Turkiye’s foreign exchange market begins the week without major fluctuations. However, several underlying economic factors continue to shape the outlook for both domestic and global markets.
Treasury and Finance Ministry’s Latest Data
Turkiye’s Treasury and Finance Ministry recently announced significant data regarding the country’s debt situation:
- Gross external debt as of June 30, 2024, is $512 billion.
- Net external debt is reported at $265.4 billion.
Additionally, the ministry outlined its domestic borrowing strategy for the next three months, projecting ₺329.4 billion in debt servicing and ₺510 billion in new domestic borrowing. These figures reflect Turkiye’s efforts to manage its debt while maintaining fiscal stability.
Inflation Trends and Economic Outlook
With September’s inflation data set to be released this Thursday, the Turkish public is already bracing for the impact. Early indicators show a notable rise:
- Hunger threshold: Increased to ₺19,830 in September.
- Poverty threshold: Surpassed ₺64,000.
- Food prices: Rose by 2.90% compared to the previous month.
Deutsche Bank’s Forecast: Inflation to Decline
In a positive forecast for Turkiye, Deutsche Bank expects a further decline in inflation, despite the current economic slowdown. The bank also predicts that the economic cooling will continue, which could stabilize prices in the medium term.
Investment Activity in Turkiye
According to Vice President Cevdet Yılmaz, international interest in Turkiye remains high. Speaking at the Investment Advisory Council held in Istanbul, Yılmaz noted that global corporations are keen on investing in Turkiye.
One notable example is a Saudi-owned company that plans to invest $5 billion in the energy and other sectors in Turkiye. Yılmaz’s statements reflect a growing confidence in the Turkish market despite the challenges posed by inflation and external debt.
Global Markets and Geopolitical Concerns
On the global front, geopolitical risks continue to weigh on market sentiment. The Israeli army recently launched an attack on Hezbollah’s command center in southern Beirut, escalating tensions in the region. With the conflict in Lebanon intensifying, global investors are closely watching the situation for any potential market disruptions.
Meanwhile, all eyes are on the U.S. employment data set to be released this week. The report is expected to provide crucial insights into whether the Federal Reserve will proceed with a jumbo interest rate cut. Statements from Fed Chair Jerome Powell and other key officials will be closely monitored to assess the future direction of U.S. monetary policy.
Economic Highlights for the Week
- September Inflation Data: To be released on Thursday, with significant impact on market forecasts.
- Global Investment: $5 billion planned investment by a Saudi-owned company in Turkiye.
- Geopolitical Risks: Heightened tension between Israel and Hezbollah, affecting regional stability.
- U.S. Federal Reserve: Potential interest rate cuts depending on employment data.
Source: NTV