The Central Bank of the Republic of Turkey, which has kept the interest rate constant at 14% throughout 2022, is announcing its interest rate decision for June today. So what are economists’ expectations?
The Central Bank of the Republic of Turkey, which greatly reduced the policy rate in the last months of 2021, continues to keep the interest rate at 14% in the last months. In this period when the exchange rate and inflation make life difficult, the Central Bank’s decisions and statements are followed closely, and today, eyes are on the new interest rate decision.
The Monetary Policy Committee of the Central Bank of the Republic of Turkey (PPK) is meeting today. With the end of the meeting, the Board will announce the interest rate decision in June, which will be the sixth interest rate decision of the year. Alright, remained constant at 14% for the full year 2022. In which direction do economists expect a decision for interest rates this month?
What are economists’ expectations?
In the market expectation survey conducted by AA Finans with 17 economists for the Central Bank’s interest rate decision in June, all economists said, keep the interest rate fixed this month waiting showed.
In the survey prepared by Bloomberg HT Research Unit with the participation of 18 institutions, same result obtained. An institution participating in the survey shared that it expects a further 100-point reduction in the policy rate. 16 institutions that shared their year-end forecasts stated that they expect the interest rate to remain at 14% until the end of the year. One institution shared its expectation as 40% and another institution as 9%.
Dumlupınar University Faculty Member Dr. Zeki Yılmaz, on the other hand, explained that we should also increase interest rates, especially since the US Federal Reserve is expected to increase interest rates. On the other hand, he stated that the Central Bank seems to keep the interest rate fixed again.