The economic situation has not been this bad in years. Recently, the rating agency Fitch downgraded Turkey's creditworthiness further into junk territory: the credit rating of the country is now BB with a negative outlook. This puts Turkey on par with countries like Guatemala or Costa Rica.
But President Recep Tayyip Erdogan seems to worry little about rating agencies. And after his reelection in June, he is now more powerful than ever. Now he is head of state, head of his party and head of the government — all in one person.
I have no idea if a crash is likely or whether Turkey will muddle through with Erdogan's powers giving him the tools to make sure his people know the beatings will continue until the economy improves.
