The Central Bank’s Monetary Policy Committee (PPK) has decided to keep the policy rate (one-week repo auction rate) constant at 9% in line with market expectations. The bank cut the interest rate by 150 basis points to 9% and decided to end the rate cut cycle, at the previous PPK meeting. Here is the PPK...
Tag: Central Bank
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Capacity utilization up in July
The Capacity Utilization Rate (CUR) in the manufacturing industry rose by 0.6 points to 78.2% in July, month over month, according to the Central Bank. The seasonally-adjusted CUR (CUR-SA) also increased by 0.6 points to 78.1% in the same period. Capacity utilization soared in consumer goods from 75.0% to 75.6%, in durable consumer goods from...
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Short-term external debt stock hits USD 134.5bn in May
The short-term external debt stock surged by 10.6% to USD 134.5bn at the end of May, as compared to the end of 2021, according to the Central Bank. The banks’ short-term external debt stock rose by 9.2% to USD 56.1bn and the short-term external debt of other sectors increased by 10.9% to USD 49.0bn in...
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Interest rate remains steady
The Central Bank kept the policy rate steady at 14% at the Monetary Policy Committee (PPK) meeting in line with the market expectations. In a statement the bank emphasized that the PPK will continue to implement the strengthened macroprudential policy set decisively and take additional measures when needed. Here is the bank’s statement: >> “The...
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Card expenditures up due to inflation and TRY devaluation
BY SEBNEM TURHAN Turkey’s credit and debit card expenditures rose by 31.4% to TRY 213.6bn in December compared to November, according to the Central Bank. People’s grocery expenses surged by 38% to TRY 41.04bn and overall food spending increased by 37% in the same period. Skyrocketing inflation and the expectation that prices could increase at...
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Central Bank cuts interest rate by another 100 basis points
The Central Bank of the Republic of Turkey (CBRT) cut the interest rate to 14% in line with the market expectations. Noting that the cumulative effects will be closely monitored in the first quarter of the coming year, the CBRT pointed out that a comprehensive policy framework review process will be carried out in this...
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I won’t stand by anyone who defends interest rates: Erdogan
Turkish President and AK Party Chairman Recep Tayyip Erdogan has underlined the ‘low interest rate’ message at the AK Party’s group meeting . Repeating the idea that the ‘interest is the cause and inflation is the result’, Erdogan said his party will remove the burden of the interest rate burden from the nation. “We cannot let...
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TRY Rout Imperils One of the Best Bets in Emerging Markets
BY BLOOMBERG The TRY’s slump this month threatens to derail a rally in Turkish corporate bonds that’s handed investors some of the richest returns in emerging markets. The debt, offering returns of 4.4% in 2021, was the second-worst performer in developing nations after President Recep Tayyip Erdogan sacked three central bankers last week. As TRY tumbled, the...