Turkish central bank to implement inflation roadmap with gradual and decisive steps

The Central Bank of the Republic of Turkey (CBRT) Governor Hafize Gaye Erkan said that they continue to implement the road map shared with the public last week at the Inflation Report meeting with gradual and decisive steps.
28.08.2023 10:36:28 / English News

Erkan's message of determination comes after the CBRT hiked its key interest rate by a larger-than-expected 750 basis points to 25% last week.

The rate hike was seen as a sign of the CBRT's commitment to addressing the country's rebounding inflation, which hit a 20-year high of 78.62% in May.

Erkan said that the CBRT will continue to take necessary measures to bring inflation down to its medium-term target of 5%.

Türkiye's inflation has been on the rise in recent months, driven by a number of factors, including the depreciation of the Turkish lira, rising energy prices, and supply chain disruptions.

The CBRT's rate hike is the latest in a series of measures taken by the government to try to control inflation.

The government has also implemented a number of other measures, such as a ban on exports of certain goods and a cap on the interest rates that banks can charge on loans. (ILKHA)