The Central Bank announces its interest rate decision and lowers the interest rate to 12
The Central Bank of Turkey (CBRT) announced the decision taken at today’s meeting at 14:00 after the unexpected interest rate cut in August. According to this CBRT lowered the interest rate to 12 percent.
Despite inflation exceeding 80 percent last month and the ongoing global tightening cycle, the CBRT had reduced its policy interest rate by 100 basis points and cited the loss of momentum in the economy as a reason.
The CBRT which had gradually lowered the policy rate by 500 basis points to 14 percent in line with the demands of President Erdogan who defended the view that interest rate caused inflation, at the end of last year, had not changed the policy rate until August despite increase in inflation. CBRT had decreased it to 13 percent in August.
