The impact of the Covid-19 Pandemic on Turkish International Trade and TL Currency Rate

Abstract

The Coronavirus (COVID-19) epidemic, which was first seen in Wuhan, China, in December 2019 and spread worldwide in a short time, became a global health crisis and affected the whole world. It is estimated that this crisis, which adversely affected both the business world and the economic world quickly, will have more destructive consequences than the 1929 Great Depression. Undoubtedly, developing countries will suffer more in this process. Especially due to risk, there will be a decrease in foreign direct investment flow, a decrease in trade volume, an increase in intermediate goods and raw material prices, and a contraction in production volume, and an increase in prices due to this increase. Turkey also has been excessive fluctuations in exchange rates in the period in question. The research aims to reveal Covid-19-pandemic periods of economic decline and the reasons TL depreciation experienced in Turkey. It aims to explain the situation and reveal the reasons by considering the Covid-19 pandemic and economic policies' negative developments. In this context, the relationship between the relevant variables was revealed using the correlation analysis method within the framework of the data for 2020 and discussed with the literature's findings