After the meeting held on September 24, Central Bank of the Republic of Turkey (CBRT) Monetary Policy Committee (MPC) announced that it has decided to increase the one-week repo auction interest rate, which is the policy rate, from 8.25 percent to 10.25 percent. In the announcement, it was emphasized that inflation followed a higher course than anticipated, although it was predicted that supply-side factors related to the pandemic will gradually disappear in the normalization process and demand-side disinflationary effects will become more pronounced. The Committee announced that it decided to raise the policy rate by 200 basis points in order to restore the disinflation process and support price stability.
On the other hand, U.S. Dollar fell to 7.5565 TL after the policy rate was raised to 10.25 while the previous day, it had risen to the level of 7.7105 TL.
