Turkey seeks to reassure rattled markets

Istanbul: Turkey´s new finance minister, the son-in-law of President Recep Tayyip Erdogan, on Thursday sought to reassure financial markets rattled by his appointment by saying the independence of the central bank was not open to question.

Erdogan on Monday named Berat Albayrak, the husband of his elder daughter Esra, as treasury and finance minister in a cabinet reshuffle for his new term.

The lira has lost over six percent in value against the dollar since his appointment and fell sharply late on Wednesday to new record lows to trade precariously close to 5 to the dollar for the first time.

A key concern of markets has been the independence of the central bank, with Erdogan repeatedly urging rate cuts despite high inflation and now able to directly appoint its leadership under the new presidential system. "The independence of the central bank and its decision-making mechanisms cannot be a subject of speculation," Albayrak was quoted as saying by the state-run Anadolu news agency.