ANKARA (Agencies): The Turkish Central Bank has, once again, hiked interest rates in the country, pushing its policy rate up five points to 30 percent, in a continued effort to curb soaring inflation, AP reports.
In response to the report, the Bank said, on Thursday, that the increase was necessary in the face of service inflation and surging oil prices. It means that the country’s interest rate is sitting at a level not seen since 2003.
The Central Bank said the threat of inflation in Turkiye, which rocketed to 58.9 percent in August, was above expectations in the past couple of months and that to combat the trend, more interest rate hikes are likely. “Monetary tightening will be further strengthened as much as needed in a timely and gradual manner until a significant improvement in the inflation outlook is achieved,” the Bank said.