Turkish central bank to cut policy rate to 15% as USD/TRY hits record lows – Reuters poll
Reuters came out with the survey details of 14 economists’ views on next week’s monetary policy decision of the Central Bank of the Republic of Turkey (CBRT) on Thursday. The headline findings suggest the 100 basis points (bps) of a rate cut to 15%, following a 200 bps rate cut witnessed in the last meeting to the 16% mark.
It’s worth noting that the CBRT is up for conveying monetary policy decisions on November 18.
Additional findings
At least four regular participants in Reuters polls did not make a forecast, citing unusual difficulties guessing the central bank's moves.
In a shift in guidance, the central bank said last month the current account deficit was the country's main problem, and narrowing the shortfall was key to price stability and supporting the lira.
It has said there is limited room for further cuts this year, after unexpectedly reducing its policy rate by 200 basis points last month.
The median estimate of 12 economists for the policy rate at year-end was 15%, with forecasts ranging between 13% and 16%.
Also read: USD/TRY pushes higher and approaches 10.0000
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Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
