Türkiye cuts rate as inflation cools

Türkiye’s central bank reduced its policy rate by 250 basis points to 42.5 per cent on Thursday, citing a slowdown in inflation and moderating domestic demand, according to the bank statement. The decision follows January’s rate hike and comes as inflation expectations and pricing behaviour show signs of improvement.

The central bank aims to reach its 5 per cent inflation target in the medium term, pledging to use all policy tools in a transparent, data-driven manner.

Attribution: Amwal Al Ghad English

Subediting: M. S. Salama