ISTANBUL: Turkish locals' forex and precious metals holdings rose $1.6 billion to $234.28 billion in the week to Oct. 8, data showed on Thursday, reversing a decline from earlier when Turks sought to profit as the lira hit a record low against the dollar.
The lira, which has been an emerging markets laggard for several years and is prone to abrupt depreciations, declined sharply after the central bank unexpectedly cut its policy rate to 18% last month.
It hit a record low of 9.19 against the dollar overnight after President Tayyip Erdogan dismissed three central bank policymakers.
Turks' forex and gold holdings have steadily risen in recent years to a record of more than $238 billion last month.
Locals have flocked to hard currencies to hedge their savings against double-digit inflation and the ailing lira, which lost 20% of its value against the dollar last year, and some 19% so far this year.
The central bank's gross forex reserves rose to $85.36 billion as of Oct. 8 from $83.20 billion a week earlier, data also showed.
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