Turkish Central Bank keeps interest rates unchanged

By Ovunc Kutlu

ANKARA (AA) - The Turkish Central Bank on Thursday kept its one-week repo rate, also known as the policy rate, unchanged at 14%, in line with market expectations.

In a statement, the central bank said it closely monitors the effects of high prices globally on inflation expectations and international financial markets.

"Increasing concern over global food security driven by trade restrictions, high course of commodity prices, supply constraints in some sectors that have become more evident particularly in energy and food, and high transportation costs have led to producer and consumer price increases internationally," the statement said.

Turkiye's annual consumer inflation hit a new record high at 69.97% in April, according to Turkstat.

The central bank's last interest rate change came in December 2021 when it cut its policy rate by 100 basis points from 15% to 14%.