The lira, along with the related currencies of Europe and the Middle East, has its roots in the ancient Roman unit of weight known as the libra which referred to the Troy pound of silver.

From 1970, a series of hard, then soft pegs to the dollar operated as the value of the Turkish lira began to fall.

The following are based on yearly averages:[5][6] The Guinness Book of Records ranked the Turkish lira as the world's least valuable currency in 1995 and 1996, and again from 1999 to 2004.

28 January 2004, the Grand National Assembly of Turkey passed a law that allowed for redenomination by the removal of six zeros from the Turkish lira, and the creation of a new currency.

Economists generally attributed the accelerating loss of value to Recep Tayyip Erdoğan preventing the Central Bank of the Republic of Turkey from making necessary interest rate adjustments.

[8][9] Erdoğan, who claimed interest rates beyond his control to be "the mother and father of all evil", stated that "the central bank can't take this independence and set aside the signals given by the president.

[10] As of 2020, the Turkish lira continued to plummet in value, with the currency going through a process of depreciation, consistently reaching all-time lows.

The Turkish lira deflated by over 400% compared to the US dollar and the euro since 2008, largely due to Erdoğan's expansionist foreign policy.

However, the currency began to crash due to inflation and depreciation starting on 21 March 2021, after the sacking of Central Bank chief Naci Ağbal.

Despite the currency collapse, Erdoğan lowered interest rates down to 14% from 15%, causing the lira to lose half of its value since the start of 2021.

Under the guidance of Mehmet Şimşek and Hafize Gaye Erkan, the central bank began to rapidly increase interest rates.

[60] The main specificity of this new series is that each denomination depicts a famous Turkish personality, rather than geographical sites and architectural features of Turkey.

The symbol resembles the first letter of the Turkish monetary unit, L, in the form of a half anchor with double stroke.

[73] At its unveiling, Erdoğan explained the design as "the anchor shape hopes to convey that the currency is a 'safe harbour' while the upward-facing lines represent its rising prestige".

[74] Faik Öztrak, vice chairman of the main opposition party CHP, alleged that the new sign resembles the initials TE of then-prime minister Tayyip Erdoğan in a reference to the tughra of Ottoman sultans.