Erdogan Sparks Democracy Concerns in Push for Istanbul Vote Rerun

The transcript discusses President Erdogan's implicit call for a rerun of the Istanbul municipal elections, highlighting the political and economic implications. The uncertainty surrounding the elections has caused concern among investors, affecting the Turkish lira and assets. The Turkish Central Bank's response, including reopening the one-week repo rate, has further impacted the banking sector, leading to potential challenges for local banks in managing lira volatility.

What potential consequences could arise from a reversal of the election decision in Istanbul?

What factors contributed to the recent stabilization of the lira before the elections?