Commerzbank Remain Pessimistic On TRY

Commerzbank note that Turkey's "net capital outflows persist, although
slightly less so than at the beginning of the corona crisis. We should now
expect more ad hoc regulatory controls to be introduced by policymakers.
The risk is that the central bank and state banks may have reached their
limit in terms of capacity to intervene... We are more pessimistic about
prospects for the medium-term, once the corona argument will no longer
satisfy markets when it comes to the external imbalances or the level of
interest rates required for proper inflation targeting. Our emphasis on
fundamentals long warned us about the next leg of lira depreciation -
since last year, our end-2021 USD/TRY forecast has been TRY8.00,
which reflects these concerns."