Türkiye’s Central Bank keeps policy rate at 37 percent
Turkish Central Bank has kept the policy rate steady at 37 percent in line with market expectations, saying that tight monetary policy stance will strengthen disinflation process.
The bank’s Monetary Policy Committee (MPC) also decided to maintain the Central Bank overnight lending rate and the overnight borrowing rate at 40 percent and 35.5 percent, respectively.
The tight monetary policy stance, which will be maintained until price stability is achieved, will strengthen the disinflation process through demand, exchange rate and expectation channels, the bank said in a statement, accompanying its rate decision on Sept. 10.
The committee will determine the policy rate by taking into account realized and expected inflation and its underlying trend in a way to ensure the tightness required by the projected disinflation path in line with the interim targets, it added.
