How much can you save travelling now to
Why Turkey is cheaper now?
Turkey's economy is in technical recession now. Economic and political problems have flourished in 2018 and since that time situation hasn't become better.
Turkey has huge, more than other major emerging markets, foreign currency debts, mostly dollars. According to the Bank for International Settlements, Turkish borrowers owe around $200 billion to international banks.
High inflation, denial of President Erdogan to raise interest rate, very low foreign reserves of $130 billion, political tensions with the US, - led Turkish Lira’s downfall. JPMorgan Chase & Co. recommended investors go long on the dollar against the lira, targeting a move to 5.90.
Lira has lost more than 1% in comparison with Euro and more than 9% with USD.
Inflation rate is 11.84% and EU inflation is 1.6%.
There are plenty of cheap tickets to Turkey from other European countries. The cheapest tickets in September are:
50€ from Dublin
88€ from Dusseldorf
88€ from Moscow
91€ from Bucharest
The BigMac Index by The Economist suggests that Turkish Lira is 61% undervalued if we look at the Raw Index. And is 35,1% undervalued using GDP-adjusted methodology.