Investing.com -- Turkey’s benchmark stock index, BIST 100, fell sharply by 6.9% following the detention of Istanbul Mayor Ekrem Imamoglu on charges including graft and aiding a terrorist group.
The Turkish lira fell as much as 10% against the U.S. dollar, exchanging hands at 40.5750 at 07:46 GMT.
The move by Turkish authorities has drawn criticism from the main opposition party, which has labeled it a "coup attempt against the next president."
Imamoglu, a prominent member of the opposition Republican People’s Party (CHP), is widely regarded as a strong challenger to President Tayyip Erdogan. He is seen as a significant figure on the national stage and a likely presidential candidate for the CHP in the forthcoming election.
The arrest on Wednesday, along with accusations of leading a crime organization, bribery, and tender rigging, has intensified a political conflict that may have far-reaching implications for the country’s future.