It also affected Turkey! A scary warning from a famous economist

According to Jim O’Neill, an Asian veteran economist, the economic turmoil in the Japanese economy1 could worsen.

The famous economist, who claimed that the danger will increase if the dollar / yen exchange rate, which is at the level of 133, rises to the level of 150, pointed out in an interview yesterday that such a decline. may force China to intervene in the foreign exchange market.

The yen fell nearly 14 percent this year, falling to 134.56 today, the lowest level in three months. The depreciation of the yen was caused by the difference between the Bank of Japan’s low interest rate policy and the high interest rate policy of other major central banks.

CHINA CAN BE CONSIDERED A THREAT TO ITS ECONOMY “O’Neill, now a senior adviser to Chatham House, said:” If the yen continues to weaken, China will see it as unfair competition. The same was true of the Asian financial crisis. “China does not want other currencies to threaten its economy.

The famous economist, who argued that with the depreciation of the yen and Japan’s export advantage, China could also devalue the yuan, said: “We see that the Bank of Japan continues to control the US yield curve “If we continue to see this, such a pace and devaluation could cause serious problems in Beijing,” he said.

ALSO AFFECTED TURKEY

Asia The decline of exports in the 19th century. and Japan was also the currency.He urged China not to devalue the yuan, fearing that its weakness could cause a chain reaction.

Indonesia, South Korea, Malaysia, Laos and the Philippines, China, Taiwan, Singapore and Vietnam were also deeply affected by the crisis that began in Thailand in 1997. This crisis, which took place in 1997, shook Turkey, as well as many other countries. At that time, industrial production, exports and growth declined in the country, and unemployment rose.

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