ANKARA: The Central Bank of Trkiye on Thursday hiked its policy rate, also known as the one-week repo rate, by 250 basis points to 45%, in line with market expectations.
Economists polled by Anadolu in a survey last week projected the bank would hike interest rates by 250 basis points.
The bank will maintain the current level of the policy rate until there is a significant drop in monthly inflation and until inflation expectations converge to the projected forecast range, it said in a statement following its first Monetary Policy Committee meeting of the year.
Trkiye’s annual inflation reached a 13-month high of 64.77% in December 2023, according to TurkStat, the country’s statistical authority.
Last year, the bank raised its policy rate a total 3,400 basis points from just 8.5% to 42.5%.
Source: Anadolu Agency