- Title: TURKEY: TURKEY SUFFERING FROM RECORD-BREAKING INFLATION
- Date: 4th January 1995
- Summary: ISTANBUL, TURKEY (JANUARY 4, 1995) (REUTERS TELEVISION - ACCESS ALL) 1. SV MONEY DEALERS IN STREETS, TALKING ON CELLULAR PHONES 0.09 2. SV DEALERS SHOUTING BUYING AND SELLING PRICES (4 SHOTS) 0.26 3. SV EXTEIOR FOREIGN EXCHANGE KIOSK 0.30 4. SV SIGNS GIVING DOLLAR AND MARK RATES (2 SHOTS) 0.39 5. SV MAN EXCHANGING MONEY (2 SHOTS) 0.49 6. SV PEOPLE WAITING IN QUEUE OUTSIDE EXCHANGE BUREAU 0.54 7. SV SHOP WINDOWS IN FASHIONABLE NEIGHBOURHOOD (2 SHOTS) 1.01 8. SV MAN IN SHOP CALLING TO PASSERS BY TO BUY CLOTHES 1.06 9. SV PEOPLE STOP AS MAN DRESSED IN WOMEN'S CLOTHES DANCES IN UPPER FLOOR WINDOW TO EXHIBIT CLOTHES (2 SHOTS) 1.20 10. SV UNEMPLOYED MAN SELLING STATE LOTTERY TICKETS (2 SHOTS) 1.30 11. SV MAN PAYS FOR BEING WEIGHED (2 SHOTS) 1.38 12. SCU CITY BANK ASSISTANT MANAGER ECONOMIST, SARUHAN DOGAN SPEAKING (ENGLISH) 1.54 13. SV MONEY BEING COUNTED IN CITY BANK (4 SHOTS) 2.12 SEQUENCE 12 TRAMSCRIPT: DOGAN :"IT'S BEEN A DIFFICULT PERIOD BUT MAYBE THE COUNTRY WILL TAKE THIS OPPORTUNITY TO SOLVE THIS PROBLEM WHICH IT HAD TO ONE DAY AND WE'LL PAY BACK TO PRICE OF HIGH GROWTH AND NO SUBSTANTIAL INCREASE IN THE RATE OF INFLATION IN THE LAST COUPLE OF YEARS" Initials Script is copyright Reuters Limited. All rights reserved.
- Embargoed: 19th January 1995 12:00
- Location: ISTANBUL, TURKEY
- Country: Turkey
- Reuters ID: LVA4DUCTLPWHU5OLD9GVEXABF6TD
- Story Text: Turks rushed to unload their lira on Wednesday (January 4) after official figures revealed inflation was at a record-breaking triple digits.
But foreign exchange traders said the erosion of the lira's value meant that far fewer residents could afford to buy dollars than during previous currency scares.
The lira lost 61 percent of its value last year, and began 1995 at close to 41,000 to the dollar from a year-end 38,000.
On Wednesday, it moved between 40,100 and 40,600 as the 1994 wholesale price index - the indicator used to measure inflation - hit an all-time record 149.6 percent after soaring 8.3 percent last month.
Year-on-year consumer price inflation was another all-time high at 125.5 percent, the State Institute of Statistics said.
Both figures were the highest on record.
Economists blamed the sharp rises on public sector price increases in late November and early December Although currency booths were busy in the first trading days of 1995, dealers said activity was not nearly as intense as in the first-half of 1994, when the lira took a deep plunge and was devalued twice from an original 15,000 to the dollar.
Traders said they expected the lira to stablise or even rise slightly. But customers, who have lost all faith in the lira, said they saw no alternative to buying foreign currency to beat price rises.
- Copyright Holder: REUTERS
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