Turkey’s main bank has treked its secret interest rate by 2.5 portion points as part of its efforts to fight high inflation that has left numerous families havingahardtime to payfor vital products
ByThe Associated Press
December 21, 2023, 6: 54 AM
A seller waits for customers in a street market in a business district in Istanbul, Turkey, Thursday, Dec. 21,2023 Turkey’s main bank treked its secret interest rate by 2.5 portion points on Thursday as part of its efforts to fight high inflation that has left numerous families havingahardtime to payfor lease and necessary products. (AP Photo/Khalil Hamra)
The Associated Press
ANKARA, Turkey — Turkey’s main bank treked its secret interest rate by 2.5 portion points on Thursday as part of its efforts to fight high inflation that has left lotsof homes havingahardtime to payfor lease and necessary products.
The bank’s Monetary Policy Committee raised its criteria rate to 42.5%, providing its seventh interest rate walking in a row to tame inflation, which increased to 61.98% last month.
But the bank indicated that the rate walkings — which took loaning expenses from 8.5% to the existing 42.5% — might quickly end.
“The committee preparesfor to total the tighteningup cycle as quickly as possible,” it stated. “The financial tightness will be preserved as long as required to guarantee continual rate stability.”
The series of rate walkings came after President Recep Tayyip Erdogan — a longtime supporter of an unconventional policy of cutting rates to battle inflation — reversed course and selected a brand-new financial group following his reelection