Turkish Central Bank keeps interest rates steady

Monetary Policy Committee decides to keep policy rate, also known as one-week repo rate, at 8 percent

Turkish Central Bank keeps interest rates steady

World Bulletin / News Desk

Turkey’s Central Bank on Thursday said its Monetary Policy Committee had decided to keep short-term interest rates steady.

The one-week repo rate, also known as the bank's policy rate, stayed at 8 percent while the marginal funding and overnight borrowing rates also held at 9.25 and 7.25 percent respectively.

The bank also kept late liquidity window interest rates steady -- the borrowing rate at 0 percent, and the lending rate at 12.25 percent.

"Recently released data indicate that the recovery in economic activity has gained strength," the bank said in a statement.

On Monday, the Turkish Statistical Institute (TurkStat) announced that Turkey's economy had grown 5.1 percent year-on-year in the second quarter of 2017. Annual growth in the first quarter was also above expectations, rising 5.2 percent.

The annual growth rates for 2015 and 2016 were 6.1 percent and 3.2 percent respectively, while the 2017 growth target in the government's medium-term program stands at 4.4 percent.

"Domestic demand conditions keep improving and demand from the EU economies continues to contribute positively to exports," the bank said.

Last Mod: 14 Eylül 2017, 16:37
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