Foreign investors are buying Turkish lira bonds at an unprecedented rate.

Reported 6 months ago

Foreign investors are increasingly buying Turkish lira-denominated government bonds, with the largest monthly inflow into the country's domestic debt on record. In the past four weeks, overseas investors purchased a net $5.5 billion of Turkish debt, the highest level since February 2021. This surge in purchases follows Turkey's central bank implementing a larger-than-expected interest rate hike in March, along with promises of monetary orthodoxy and lower inflation. Foreign sentiment towards Turkish assets has improved, with Bank of America strategists recommending lira forwards and Citigroup Inc. suggesting that Turkish markets are on the cusp of a "Renaissance moment."

Source: YAHOO

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