The Turkish lira continued to plunge to a record low on late Monday even though the Turkish Central Bank had lowered the foreign exchange markets reserve requirement limit hours ago.

On Monday by market close, the Turkish lira fell as much as 3.8 percent to a record low of 5.31 against U.S. dollar.

After the U.S. has imposed sanctions on two Turkish ministers last week for not releasing American pastor Andrew Craig Brunson, who faces terrorism charges in Turkey, the lira closed last week at 5.08.

The central bank intervened on Monday upon continuous fall of the local currency after the Trump administration said it was reviewing Turkey's duty-free access to the U.S. market.

"The upper limit for the FX maintenance facility within the reserve options mechanism has been lowered to 40 percent from 45 percent," the central bank said in a statement on its website.

"With this revision, approximately 2.2 billion dollars of liquidity will be provided to banks," it added.