Türkiye leaves policy rate unchanged at 45%, meeting with forecasts

The Central Bank of Türkiye on Thursday left its policy rate, also known as the one-week repo rate, unchanged at 45%, in line with market consensus.

The current level of the policy rate will be maintained until the underlying trend of monthly inflation drops significantly and until inflation expectations converge to the projected forecast range, it said in a statement following its first Monetary Policy Committee meeting of the year.

Türkiye's annual inflation edged up to 64.86% in January from 64.77% in the previous month, according to the country's statistical authority.

The bank projects 36% inflation at the end of this year.

In its January meeting, the bank hiked its policy rate by 250 basis points from 42.5% to 45%.