CDSs, Turkey's risk indicator, exceeded 900 and renewed the record.
IT LAST RISE TO THESE LEVELS IN 2008
During the last global financial crisis, CDS rose to these levels in October 2008, and in October 2008 Turkey's risk premium in intraday trading reached 904 basis points.
Turkey deeply felt the last impact of CDSs when they were at 1300 levels in the 2001 economic crisis.
WHAT IS CDS?
CDS (credit default swap) risk premium is a financial ratio used to calculate the default risk in a debt-to-credit relationship.
In commercial agreements to be made between countries, it is reflected in the debt as insurance cost of the creditor against the risk of non-payment of the debt. Countries with high CDS premiums also have higher credit costs.
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