Finance Minister Simsek set to address foreign investors after turbulent week

Türkiye’s Treasury and Finance Minister Mehmet Simsek is set to hold a teleconference with foreign investors at 1 p.m. GMT on Tuesday, the ministry announced.

The teleconference comes in response to a significant downturn in Türkiye’s financial markets, which has been observed since March 19, with Borsa Istanbul sliding more than 16% on a weekly basis and the depreciation of the Turkish lira against major currencies, following a probe into Istanbul Mayor Ekrem Imamoglu, raising concerns among investors.

According to the ministry’s statement, Minister Simsek will attend the meeting, hosted by Citigroup and Deutsche Bank, alongside Turkish central bank governor Fatih Karahan. The meeting will also include numerous portfolio and direct foreign investors from North America, the United Kingdom, European countries, and the Middle East.

During the teleconference, Simsek is expected to provide detailed updates on the government’s efforts to stabilize the financial markets, including new measures implemented by the Central Bank of the Republic of Türkiye (CBRT) to support the ongoing economic program, particularly focusing on easing inflation.

‘All necessary steps are being taken’

Ahead of the meeting, Minister Simsek emphasized on X that all necessary steps are being taken to ensure the healthy functioning and efficiency of the markets. He also mentioned the Turkish central bank’s newly announced measure to address currency volatility, which involves Turkish lira-settled forward foreign exchange sale transactions.

On Sunday, following Imamoglu’s arrest, Simsek met with Türkiye’s financial regulators to discuss new measures aimed at controlling volatility in the stock exchange and ensuring resilience in the banking sectors. The Turkish Capital Markets Board (SPK) announced key decisions ahead of Monday’s market opening, including a ban on short-selling, facilitation of share buybacks, and the relaxation of equity ratio rules for leveraged transactions.

Meanwhile, in a post on X, Simsek stated, “We will continue to take all necessary steps to ensure the healthy functioning of the markets,” while also addressing rumors about his potential resignation, which were raised by main opposition Republican People’s Party (CHP) leader Ozgur Ozel.