Turksih Central Bank cuts Policy Rate by 250 bps to 47.5 percent
The Turkish Central Bank has lowered its key interest rate by 250 basis points to 47.5 percent, delivering the first cut in nearly two years.
Most economists had expected the bank to reduce the key rate, the one-week repo auction rate, by 150 basis points.
The last cut was in February 2023.
“The Monetary Policy Committee (MPC) also decided to adjust the monetary policy operational framework by setting the overnight borrowing and lending rates 150 basis points below and above the one-week repo auction rate, respectively,” the bank said in a statement on Dec. 26.
The decisiveness regarding tight monetary stance is bringing down the underlying trend of monthly inflation and strengthening the disinflation process through moderation in domestic demand, real appreciation in Turkish lira, and improvement in inflation expectations, it added.
The tight monetary stance will be maintained until a significant and sustained decline in the underlying trend of monthly inflation is observed and inflation expectations converge to the projected forecast range, the bank said.
While inflation expectations and pricing behavior tend to improve, they continue to pose risks to the disinflation process, according to the bank.
Source: HDN
Diğer CYPRUS MIRROR Haberleri
Yorumlar
Dikkat!
Suç teşkil edecek, yasadışı, tehditkar, rahatsız edici, hakaret ve küfür içeren, aşağılayıcı, küçük düşürücü, kaba, müstehcen, ahlaka aykırı, kişilik haklarına zarar verici ya da benzeri niteliklerde içeriklerden doğan her türlü mali, hukuki, cezai, idari sorumluluk içeriği gönderen Üye/Üyeler’e aittir.