The Turkish turnaround: How the central bank's bold actions could reshape investment landscape
The Central Bank of Turkey raised interest rates to 25% to combat inflation, delivering the fastest rate-hike cycle over two decades.
To:
Al-Monitor Pro members
From:
Piero Cingari
Financial analyst
Date:
Sept. 6, 2023
Bottom Line:
The Central Bank of Turkey raised interest rates to 25% to combat inflation, delivering the fastest rate-hike cycle over two decades. While recent economic indicators show a mixed picture, Turkish assets have displayed strong performance, signaling renewed investor confidence. Achieving currency stability is essential to attracting foreign capital inflows and advancing domestic de-dollarization efforts.