PrintTurkey's Central Bank Cuts Policy Rate by 250bps to 40.5% on Lower Inflation
BY MT Newswires | ECONOMIC | 09/11/25 10:36 AM EDT10:36 AM EDT, 09/11/2025 (MT Newswires) -- Turkey's central bank (CBT) Thursday said its Monetary Policy Committee cut the one-week repo auction rate by 250 basis points to 40.5% from 43.0%.
Commerzbank noted before the decision that most analysts had expected a 200-basis-point reduction.
The CBT also lowered its overnight lending rate to 43.5% from 46.0% and its overnight borrowing rate to 39.0% from 41.5%.
"The underlying trend of inflation slowed down in the August," said the CBT in its policy statement. "Recent data indicate that demand conditions are at disinflationary levels. Food prices and service items with high inertia are exerting upward pressure on inflation."
The bank added that inflation expectations, pricing behavior and global developments remain risks to the disinflation process.
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