Turkey's central bank keeps interest rates steady

Published 24.11.2015 00:00
Updated 24.11.2015 16:13

The Central Bank of the Republic of Turkey (CBRT) held all key interest rates steady following a special meeting of the Monetary Policy Committee on Tuesday for the month of November.

It left its benchmark one-week repo and overnight borrowing rates at 7.5 percent and 7.25 percent, respectively. The bank also kept the marginal funding rate steady at 10.25 percent.

"Considering the impact of the uncertainty in global markets on inflation expectations and taking into account the volatility in energy and unprocessed food prices, the Committee stated that the tight liquidity stance will be maintained as long as deemed necessary," the bank's statement said.

The CBRT has not changed any key rate since February.

The bank's decision was expected since it has signaled several times that the CBRT will not take action until there is a move from the U.S. Federal Reserve (Fed). The Fed has been signaling for over a year that there will be a rate hike. In the Fed's most recent meeting minutes, the bank said that the expected increase will be gradual, which pushed the global stocks up last week thanks to the growing certainty.

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