The Turkish economy is growing, but high interest rates and the weak lira are causing problems for the population. How will the situation develop?

The Turkish economy is growing, but high interest rates and the weak lira are causing problems for the population. How will the situation develop?

According to a report from www.businessinsider.de,
Turkey is currently experiencing an economic upswing. Despite high inflation and a weak currency, the economy is growing strongly. According to OECD data, Turkey will be one of the industrialized countries with the greatest economic growth in 2023. The positive development is due to a 180-degree turnaround by President Recep Tayyip Erdogan. This turnaround has also led to rating agency S&P raising its outlook for Turkey's creditworthiness.
Despite the major challenges facing the Turkish economy, there are some factors that are driving the country's growth. On the one hand, the population is growing, which leads to growth opportunities and a pent-up demand for consumption. Trade with Russia has increased due to the war in Ukraine and Turkey is becoming a hub in Russia trade. In addition, reconstruction after a devastating earthquake is causing a construction boom from which significant parts of the Turkish economy are benefiting.
Nevertheless, high inflation and the weakness of the currency are a major challenge for the Turkish economy. Another challenge is dependence on imports, as Turkey has to import over 95 percent of its energy and many food products. This leads to increasing costs for the country. Interest rates were recently raised to 40 percent to combat the currency's decline, but this has so far had limited success. Nevertheless, there is a prospect that Turkey will remain one of the fastest-growing countries in the world.