Shares of the Spanish bank Banco Bilbao Vizcaya Argentaria (NYSE: BBVA) traded more than 7% lower as of 11:30 a.m. today after the head of Turkey’s central bank was fired over the weekend.
BBVA has operations in many different parts of the world including Spain, the U.S., Mexico, South America, and Turkey. In 2020, net profits from the company’s operations in Turkey made up more than 14% of total profits.
Over the weekend, President Recep Tayyip Erdogan of Turkey fired central bank governor Naci Agbal, who had recently raised interest rates to counter inflation, a move that Erdogan did not approve of. The firing of Agbal marks the third time Erdogan has fired the central bank chief since 2019.