Central Bank of Turkey increased discount rate to 15%

The Central Bank of Turkey increased the key rate by 650 percentage points. from 8.5 to 15 percent.

The decision was made public on Thursday following a meeting of the Council on Cash Policy of the Central Bank of Turkey.

The regulator announced the decision to give a start to give the process of tightening monetary policy. “Steps will be taken to increase the efficiency of market mechanisms and strengthen macro -financial stability. The policy of tightening monetary policy will continue in stages – up to the improvement of the inflation situation,” the Central Bank said

The regulator attracted attention to the global trend, within the framework of which the Central Bank of various countries are taking measures to reduce inflation.

In this regard, the importance of achieving a medium -term goal of 5 percent of annual inflation in Turkey is emphasized. “The Central Bank will carefully monitor inflation indicators and, based on the desire to ensure price stability in the country, it is decent to use all the available tools,” the Council said further.