New Turkish Lira unveiled in another step to curb inflation
Turkey on Monday unveiled the design of its new currency, two months before it goes into circulation, in what Turkish officials described as a major step in the battle against inflation.
The New Turkish Lira (YTL) will come into effect on January 1, 2005, scrapping six zeroes from the current money, which has been a symbol of economic failure and 30 years of hyperinflation, AFP reported.
The smallest coin today is worth 25,000 lira (0.01 dollars or euros), while the biggest banknote is 20 million lira (13 dollars or 10 euros).
"With the YTL, our country`s longing for low inflation is coming to an end -- with the YTL, our currency's longing for prestige is coming to en end," Turkish Prime Minister Recep Tayyip Erdogan told a ceremony introducing the new currency, attended by cabinet ministers and financial authorities.
After the reform, the banknotes in circulation will be one, five, 10 and 2O YTL, 50 YTL and 100 YTL, which will all carry portraits of Turkey's founder, Mustafa Kemal Ataturk.
The new notes also introduce several anti-counterfeiting measures.
"We are launching a money reform in Turkey. It is already clear that the Turkish people, hungry for stability after years of inflation, will adapt easily to the YTL," Economy Minister Ali Babacan said.
He dismissed speculations that inflation may go up as tradesmen round off amounts upwards with the new currency, as was the case in some EU countries after the adoption of the Euro. "The smallest currency will be one kurus rather than 25,000 thousand liras. That will in fact decrease the already rampant rounding off of figures," Babacan said. (menareport.com)