Central Bank Signals Interest Rate Hike

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The Central Bank of the Republic of Turkey (TCMB) has released a statement after the Turkish Statistical Institute (TurkStat) announced the inflation figures for August 2018 today (September 3).

The Central Bank has signalled an interest rate hike before the meeting of the Monetary Policy Committee to be held on September 13.

In the statement, it has been indicated that in the light of recent developments, the monetary position will be reshaped to stabilize the prices.

The Bank has said, "The Central Bank will give the necessary response with the aim of supporting price stability."

"The monetary position will be reshaped"

The Central Bank has issued the following statement:

"The recent developments in the inflation outlook have been pointing to significant risks in terms of price stability.

"The Central Bank will give the necessary response with the aim of supporting price stability.

"Within this framework, in accordance with the previous communications and in the light of recent developments, the monetary position will be reshaped at the meeting of Monetary Policy Committee in September.

"The Central Bank will continue utilizing its all means in line with its main aim of stabilizing the prices."

Exchange rate of US Dollar before and after the statement

The exchange rate of the US Dollar, which was around the level of 6.67 Turkish Lira before the statement, has receded to the level of 6.51 TRY after the statement.

As of 2.20 p.m. today, the exchange rate of US Dollar was 6.61 Turkish Lira. (HA/SD)