Turkey’s central bank said Thursday it had cut its key interest rate to 37 percent as annual inflation figures keep slowing.
At a policy meeting the bank “decided to reduce the policy rate [one-week repo auction rate] from 38 percent to 37 percent,” it said in a statement.
The underlying trend of inflation declined in December, the bank said, adding that while leading indicators suggest that monthly consumer inflation has firmed in January, led by food prices, the rise in the underlying trend of inflation “is limited.”
Turkey’s annual inflation slowed in December to 30.9 percent, a fourth straight month of declines and well below the 44.4 percent posted a year earlier, according to official figures.
However, the official figures are disputed by ENAG, a group of independent economists that publishes its own data every month, with the organization saying year-on-year inflation stood at 56.14 percent in December.
© Agence France-Presse