The Turkish lira.. Ataturk printed the first banknote and Erdogan canceled its six zeros

The Turkish lira has lost about 50% of its value since the beginning of 2021 due to the large monetary easing from the Central Bank, which included reducing interest rates by 400 basis points since last September, which is urged by President Recep Tayyip Erdogan.

With the cancellation of its six zeros at the beginning of 2005, the exchange rate of the Turkish lira rose to the highest level the currency had known, but it began to decline rapidly since 2018, so that the dollar recorded at the end of 2021 about 14.4 lira per dollar, and below we show the time course of the Turkish lira up and down:

5 lira denomination.. the first paper currency

1927: After the proclamation of the Republic on January 12, 1926, the first Turkish 5 lira banknote was printed in London in Ottoman letters.

Since then, 120 banknotes of different denominations in 9 issues have been entered into the Turkish market so far.

1937: The Turkish paper currency was printed again in Latin letters.

1944: The second edition of the paper currency was issued in England and Germany, and it bore the image of the head of state at the time, Ismet Inonu, and the smallest denomination was 50 piasters and the largest was a thousand Turkish liras, and at the time it was equivalent to 0.77 US dollars.

1947: New denominations of the lira were printed in America, the denominations of piasters were withdrawn from circulation, and the smallest currency until then was issued, in the denomination of 2.5 lira.

1952: After the end of Inonu's rule, the image of Mustafa Kemal Ataturk began to be printed on coins again.

1958: The first money printing house was established in Turkey.

1966: The 2.5-lira denomination was withdrawn from circulation, and new coins of the same denominations were printed with new designs, and the thousand pounds remained the largest denomination at the time.

From 1980 to 1994: Due to the deterioration of the Turkish economy, new editions of the denominations of 10, 20, 50, 250 thousand were issued.

1995: The 5 thousand and 10 thousand lira denominations were withdrawn, and the one million Turkish lira denomination was issued.

1999: The 10 million and 20 million denominations were issued, and the 100,000 lira denomination was withdrawn from circulation.

2002.. currency recovery with "Justice and Development"

The negative repercussions of inflation caused the Turkish currency to lose its value, and prompted the successive government coalitions that preceded the Justice and Development government to borrow billions of dollars to revive the country's economy.

2001: The growth of the Turkish economy decreased by 5.7%.

November 3, 2002: The Justice and Development Party (AKP) won 34.28% of the votes in the general elections in Turkey to be able to form its first government alone.

- 2003: With the start of the "Justice and Development" government taking power, the growth rate began to increase to reach 5.3%.

2004: The growth rate rose to 9.4%.

2005: a growth rate of 8.4%.

2006: a growth rate of 6.9%.

2007: a growth rate of 4.7%.

The end of 2008: the global economic crisis began to affect Turkey, however, the Turkish economy grew in that year by 0.7%.

2009: The growth of the Turkish economy fell by 4.8%.

June 2013: Erdogan's government paid the last installment of its debt to the International Monetary Fund.

Currency regulation law.. delete 6 zeros

January 28, 2004: The Currency Regulation Law was issued to make amendments to the Turkish lira to keep pace with the great economic growth of the Turkish Republic.

January 1, 2005: 6 zeros were removed from the currency to start the eighth generation of money.

Since then, a new journey has begun for the lira, which is now equal to 0.5 euros or 0.7 dollars.

End of 2006: the exchange rate fell to 1.42 pounds to the dollar.

The new Turkish lira was in denominations of 5, 10, 20, 50 and 100 lira.

2009: The 200-lira denomination was issued, and it began to occupy an advanced position among the currencies.

In 2011: the dollar was equivalent to 1.48 pounds.

2013: The lira fell to 1.75 liras to the dollar with the beginning of the "Jizzi Park events".

2014: The dollar became 2.27 pounds to the dollar.

March 2016: The dollar exchange rate reached 2.557 pounds, and the pound lost 45% of its value within two years.

July 15, 2016: With the failed coup attempt, the exchange rate of the lira fell to 2.94 pounds against one dollar, losing about 4% of its value.

July 16, 2016: The exchange rate of the lira improved on the first working day after the two holidays following the coup by about 3%, but the barrier of 3 liras to the dollar was not far away, despite what observers considered at the time a “psychological barrier.” If the lira exceeds it, it will continue to decline.

Several explosions occurred in the Turkish states after the July 2016 coup, perhaps the most important and most dangerous in Istanbul, which witnessed the bombings of Sultan Ahmed and Besiktas. The exchange rate fell successively to 3.521 liras to the dollar, and maintained this level until early May 2017.

2018.. the beginning of the decline

2018: Turkey faced a severe economic and monetary crisis that continues to this day, as the lira fell to 6.90 liras against the dollar at the end of the same year.

- In 2019: the lira witnessed an improvement, as its exchange rate rose against the dollar to 5.85 liras.

2020: The lira returned to decline, reaching about 8.50 against the dollar.

2021: There was a significant decline in the level of the Turkish currency exchange rate, as the dollar price reached 14.4 liras, and it is expected to jump even higher by the end of the year.