Erdogan’s push for low rates backfires as borrowing costs soar

Turkey Erdogan

ANKARA: The cost of borrowing money in Turkey is surging, a sign that President Recep Tayyip Erdogan’s (pic) policy of driving down interest rates is starting to backfire.

Since the central bank began slashing rates in September, the yield on 10-year government bonds has climbed more than seven percentage points, touching an all-time high of 24.9% on Wednesday.