Turkey’s largest bank is commenting on reducing disputes with Erdogan’s | Business and Economic Affairs

The head of a central bank in Turkey told experts in a call Thursday that it would monitor interest rates in the first half of next year, an official told Bloomberg.

Turkey’s central bank told experts in a call that it was monitoring its interest rate cuts in interest in the first half of 2022, according to an expert on the matter.

The bank’s governor Sahap Kavcioglu’s statement sought to reinforce the message that policymakers see limited space to reduce prices, and that the bank is considering suspending the reduction in its figures after their December meeting, the official said, urging them not to do so. be known because the statements were not public.

The governor’s comments prompted him to disagree with President Recep Tayyip Erdogan, who promised to reduce interest rates until elections are held in 2023. to intervene in the foreign exchange market for the first time in about eight years.

Erdogan Says Turkey’s Economy Will Succeed With Lower Prices

The lira changed slightly after reports from the Kavcioglu meeting and traded 1.3% down 13.4527 dollars at 1:38 pm in Istanbul.

The bank has been criticized by investors and analysts for reducing the repo rate for one week by 4 per cent from September to 15%, while consumer price hikes rose by almost four per cent to 5%. The Lira lost a quarter of its value last month alone, bringing losses this year to about 45%, more than any other major investment that Bloomberg pursued.

Below is a review of what Kavcioglu said at the time. The bank officially declined to comment:

• Kavcioglu saw a reduction in inflation as transit points were cut
• The governor cited impossible and unhealthy prices in the FX market
• The bank is seeing an increase in economic growth and job creation
• The bank keeps a deposit for the deposit