Amid the significant decline in the Turkish lira, the Central Bank of Turkey (CBRT) has announced new measures to stabilize the currency.
Steps Taken by the Central Bank of Turkey
To tackle the currency crisis, the CBRT has decided to increase the overnight lending rate. This has impacted exchange rates, with the lira settling near the 38 mark after fluctuations.
Impact of the Measures on the Economy
The CBRT's measures aim to ensure a tighter monetary policy by raising the overnight lending rate to 46% to mitigate inflationary risks and maintain market stability. The one-week repo rate stays unchanged at 42.5%, and the overnight borrowing rate is set at 41%.
Consolidation of Financial Stability
The recent decisions by the Central Bank emphasize its commitment to stabilizing Turkey's financial conditions. These measures are crucial for supporting economic stability and curbing inflation amidst current market challenges.
The Central Bank of Turkey is actively working to stabilize the financial position and reduce inflation through monetary policy control.
