Türkiye cuts rates amid disinflation efforts

Türkiye’s central bank decided to cut its policy rate from 50 per cent to 47.5 per cent on Thursday while adjusting its monetary policy framework to set overnight borrowing and lending rates 150 basis points below and above the one-week repo rate, respectively, according to the bank’s statement.

The Monetary Policy Committee highlighted a stable inflation trend in November, with indicators pointing to further moderation in December. While inflation expectations and pricing behaviour are improving, they remain potential risks to the disinflation process.

Attribution: Amwal Al Ghad English

Subediting: M. S. Salama