Chris Cairns found not guilty in perjury case ... Read more

Scandal takes toll on currency

Last updated 09:00 07/01/2014

Relevant offers


Dick Smith backs away from profit guidance after inventory write-off Business responds to shark attacks What's next for Yahoo? Shane Warne defends charity over release of records Nutella rejects personalised jar for five-year-old girl named Isis Seven condoms, 21 orgasms? A German court has ruled no Thanksgiving advertising can make turkeys out of US brands If women want to reduce the gender pay gap, they have to fight for it Company director hid in wardrobe after crashing her car while drunk Intel employee paid friend to call in bomb threat so he didn’t have to go to work

The Turkish national currency has fallen to a new low, a sign the government corruption scandal is taking its toll on the economy.

Prime Minister Recep Tayyip Erdogan was forced to reshuffle his government after three ministers' sons were among dozens of people detained in a vast police corruption and bribery investigation.

The head of a state-owned bank was also arrested.

Erdogan's government has rejected the corruption allegations, pointing fingers instead at an alleged conspiracy to hurt his government ahead of local elections in March.

But the political instability is unnerving investors.

The Turkish lira reached a record 2.19 (NZ$1.21) against the American dollar and 2.97 against the euro on Monday. It has slid more than seven per cent against the dollar since the scandal began on December 17.

Ad Feedback

- AP

Special offers

Featured Promotions

Sponsored Content