The Turkish lira, on Thursday, dropped to a new all-time low of 7.27 to the United States dollar, continuing free fall since the beginning of the week.
This is in spite of aggressive dollar sales by public banks.
The lira stood at 7.26 after hitting an all-time low of 7.27 on Thursday afternoon, breaking past its weakest level of 7.25 in May.
The currency has lost more than 22 per cent versus the greenback since the beginning of the year.
Turkish banks have, for most of 2020, been aggressively selling dollars to shore up the lira.
However, they have failed to defend the currency so far.
Meanwhile, shares traded on the main stock exchange Borsa Istanbul separately lost nearly five per cent on Thursday.
The Turkish economy already suffers from high inflation, unemployment and foreign debt.
The more the lira depreciates, the bigger the burden on banks and private firms to repay debt in dollars.