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Turkish c.bank to hold rates at 8.5% - Reuters Poll
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China stocks close up on earnings boost
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Some Ghana bondholders received coupon payment of
WB-backed bond
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Ecuador launches debt buyback plan aimed at Galapagos
protection
By Bansari Mayur Kamdar April 27 (Reuters) - Turkey's lira edged down on Thursday ahead of a rate decision by the country's central bank, which is expected to keep its benchmark rate steady at 8.5% in its last decision before elections next month. The lira traded at 19.4320 against the dollar by 0900 GMT, weakening from Wednesday's close of 19.4200. May's elections pose the greatest challenge to President Tayyip Erdogan's 20-year rule. An inflation-driven cost of living crisis has eroded his support in recent years and his government has also been criticised for its response to a devastating earthquake in early February. The lira has plumbed record lows this year as the central bank slashed interest rates in an unorthodox policy championed by Erdogan. "In the event President Erdogan retains office... an unorthodox monetary policy framework is likely to stay in place and the lira could experience another significant depreciation," economists at Wells Fargo wrote in a note to investors. "If a scenario unfolds where regime change materializes, we believe the lira could experience an outsized appreciation on expectations that an orthodox framework for monetary policy could be implemented." The South African rand added 0.9% against a steady dollar in thin trading, with many local traders away from their desks for Freedom Day. Russia's rouble was flat against the dollar with the market looking ahead to Friday's interest rate decision. In central and eastern Europe, currencies edged up against the euro with the Czech crown and the Hungarian forint leading gains.
Overall, the MSCI index for emerging market currencies was flat while stocks gained 0.3% as investors awaited GDP data from the U.S. later in the day to assess the health of the world's largest economy. China's blue-chip CSI300 Index rose 0.7%, snapping a six-day losing streak by the close, led by insurance companies as better-than-expected earnings boosted sentiment. Chinese industrial firms' profits shrank at a slightly slower pace in January-March but the decline remained in double digits as the economy struggled to fully recover from the exit to the zero-COVID policy. Elsewhere in emerging markets, Colombia's peso rose 0.4% in early trading after falling to a three-week low on Wednesday as President Gustavo Petro named a new finance minister. Some investors holding Ghana's 2030 Eurobond received coupon payments which had been due on April 14, a source with direct knowledge of the matter said on Wednesday. Ecuador launched a long-awaited debt buyback plan that will free up money to protect its Galapagos Islands. (Reporting by Bansari Mayur Kamdar in Bengaluru; Editing by Hugh Lawson)
@BansariKamdar;))