Azernews.Az

By Bloomberg

Turkey’s lira advanced the most in emerging markets as sliding oil prices boosted the outlook for the nation that imports most of its energy.

The currency climbed 0.7 percent to 2.6287 per dollar at 2:40 pm in Istanbul, the highest since May 26. Brent crude fell 0.9 percent to $57.35 per barrel on speculation Iran will increase crude shipments after reaching a deal with world powers over its nuclear program.

Turkey, which imports more than 90 percent of its oil and about 70 percent of its total energy needs, has the second- biggest current-account gap relative to its gross domestic product among the Group of 20 economies. Oil prices at current levels will allow Turkey to save as much as $13 billion from lower energy import costs, Energy Minister Taner Yildiz said in televised remarks Tuesday.

“The positive impact on the current account deficit and production activity should reinforce the lira,” Ipek Ozkardeskaya, a markets analyst at London Capital Group, said by e-mail.“Turkey, as a highly energy-dependent country, can only welcome the Iran deal cheerfully.”

Iran sealed an accord withg six countries to curb its nuclear program in return for ending sanctions that crippled the economy. Banks including Goldman Sachs Group Inc. and Barclays Plc say it will take six to 12 months for the holder of the world’s fourth-largest crude reserves to revive production by about 500,000 barrels a day. Iran also holds the world’s second- largest reserves of natural gas, after Russia