Turkey dismisses U.S. sanctions over detained pastor, vows dialogue

Turkey threatens to retaliate over US sanctions in escalating dispute between Nato allies

Turkey vows to hit back against sanctions over preacher's arrest

The lira hit an all-time low of 5.11 versus the dollar on Friday after the U.S. sanctioned two of President Recep Tayyip Erdogan's ministers who played a key role in detaining American pastor Andrew Brunson.

Meeting with his Turkish counterpart on Friday, Secretary of State Mike Pompeo declared that "the clock had run out" on Turkey to meet U.S. demands to release an American pastor detained since 2016.

He also urged Turkish people to convert their hard currency and gold into lira and euros to bolster the lira and "show their resistance to the world" as he presented an economic action plan for the next 100 days.

Berat Albayrak, Turkey's finance and treasury minister and President Recep Tayyip Erdogan's son-in-law, on Friday played down the idea that strains between the two countries would continue in the long term.

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

US Secretary of State Mike Pompeo and Turkish Foreign Minister Mevlut Cavusoglu agreed on Friday to try to resolve a series of disputes, after relations between the North Atlantic Treaty Organisation allies sank to their lowest point in decades.

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"Of course you can't expect all issues to be resolved in a single meeting". "They agreed to continue to try to resolve the issues between our two countries", she said. He is facing a 35-year sentence if convicted of the charges of "committing crimes on behalf of terror groups without being a member" and espionage.

Some analysts have argued Turkey is wary of allowing any further escalation in the crisis, which has already sent the lira to record lows in value against the dollar of above 5 for the first time.

"We've seen no evidence that Pastor Brunson has done anything wrong and we believe he is a victim of unfair and unjust detention by the government of Turkey", White House Press Secretary Sarah Huckabee Sanders emphasized to reporters Wednesday. Gulen denies the allegations.

He is scheduled to appear before a court in October for his third hearing after the court rejected an appeal for his release in a July 18 hearing. He was also charged with supporting outlawed PKK Kurdish militants.

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.

It was unclear who would be affected by Erdogan's announcement because of differing cabinet roles in the United States, or if they have any holdings in Turkey.

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