Turquie Taux d'intérêt

The Central Bank of Turkey cut its benchmark one-week repo auction rate by 250bps to 45% in its January 2025 decision, as expected by financial markets, extending the 250bps rate cut in the previous month, which was the first rate cut since a series of unorthodox policy loosening drove the rate to bottom at 8.5% in February 2023. The Monetary Policy Committee noted that the main trend of inflation declined according to the latest data, warranting the continuation of policy normalization. The softer price growth was underscored by lower inflation for core goods, although leading indicators for services inflation indicated an upturn for the gauge in upcoming months. Despite the cut, the MPC deemed policy to be sufficiently restrictive to aid the ongoing disinflation trend. The central bank sees inflation ending the year at 21%, while surveys showed a greater degree of skepticism by markets, which forecast inflation to end the year at 27%.