ISTANBUL: A sharp fall in the Turkish lira and rising world gold prices curbed Turkey’s demand for gold in January, slashing monthly bullion imports by more than 80 percent, data from the Istanbul Gold Exchange showed.
Turkey imported only 6 tonnes of gold bullion in January, a 47 percent drop compared with the same month last year and an 81 percent plunge from December’s 31.65 tonnes, according to the data from the exchange, part of Bourse Istanbul.
“Lira depreciation has made gold more expensive. The Fed’s steps have caused world gold prices to rise. These have all negatively effected the gold demand,” said Mehmet Ali Yildirimturk, the head of Istanbul’s Chamber of Jewellers.
Gold is a traditional investment for many Turkish people seeking to hedge against sharp fluctuations in their currency and Turkey is one of the top five consumers of the metal.
Reuters
