Turkey retaliates over United States sanctions

Turkey has repeatedly said Brunson's case is being handled by the courts and the government cannot intervene

Turkey's lira tumbled to a record low beyond 5 to the dollar on Thursday, after Washington imposed sanctions on two of President Tayyip Erdogan's ministers over the trial of a us pastor accused of backing terrorism.

President Recep Tayyip Erdogan said on Saturday that Turkey had been "patient" since the USA sanctions were slapped on Abdulhamit Gul, the minister of justice, and Suleyman Soylu, the minister of interior, this week.

Two Turkish employees of United States consulates in Turkey are also now in jail on terrorism charges, and another is under house arrest, while several Americans have been caught up in the crackdown that followed a failed 2016 coup.

The FETO and its US -based leader Fetullah Gulen orchestrated the defeated coup attempt of July 15, 2016, which left 251 people martyred and almost 2,200 injured.

The sell-off, which also hammered local stocks and Turkey's debt risk profile, reflected deepening investor concern over tensions with the United States, a North Atlantic Treaty Organisation ally and major trading partner.

He was held in a Turkish prison for 21 months until he was transferred to house arrest last week.

While Turkish FM Mevlut Cavusoglu had agreed to resolve the situation in a meeting with Pompeo, he also says that the threatening language and sanctions from the USA won't get them anywhere.

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"Of course you can't expect all issues to be resolved in a single meeting".

"We reached agreement on resolving problems through close cooperation and dialogue", Cavusoglu told reporters, though he added that settling the dispute would take time. The attorney general heads the Justice Department in the United States. He denies the charges but faces up to 35 years in jail.

"We are facing an economic war, but we will win it", Erdogan said, adding Turkey is issuing Chinese Yuan denominated bonds for the first time, and to overcome difficulties due to credit rating reports, Turkey is turning towards China for external borrowing. "These are innocent people".

"Pastor Brunson's unjust detention and continued prosecution by Turkish officials is simply unacceptable", Treasury Secretary Steven Mnuchin said in a statement.

The lira hit a record low of 5.0934 to the dollar, recovering to trade at 5.0605 by 1434 GMT. He was also charged with supporting outlawed Kurdish PKK militants. On Tuesday, a court rejected his appeal to be released altogether during his trial.

Top U.S. officials, including President Donald Trump and Vice President Mike Pence, have said there is no evidence against Brunson and demanded his release.

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