'Turkish banking sector to see double-digit rise'

By Yunus Turk

ISTANBUL (AA) - Turkey's banking sector will see a double-digit rise as of the end of 2019, the general manager of private lender Alternatif Bank said on Wednesday.

The sector supports the economy with its strong corporate infrastructure, high capital adequacy and management capability in uncertainty periods, Kaan Gur told Anadolu Agency.

He stressed: "We expect a gradual transition to growth and positive progress in the second half of this year."

Gur added that the inflation rate was dropping rapidly and could reach single digits in September-October.

The annual inflation rate, which saw a 25% rise last October, was 15.72% in June.

He said: "As of July, we expect the Central Bank to start dropping interest rates by 400 basis points gradually."

The Central Bank of Turkey's (CBRT) policy rate -- one-week repo auction rate -- is 24% currently.

The bank's Monetary Policy Committee will meet on July 25 -- with the newly appointed governor of the Central Bank Murat Uysal in the chair -- to determine interest rates.

*Writing and contributions by Gokhan Ergocun