عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Turkish Central Bank Raises Interest Rates to 40%

Turkish Central Bank raised interest rates double the expected. (The central bank’s website)
Turkish Central Bank raised interest rates double the expected. (The central bank’s website)
TT
TT

Turkish Central Bank Raises Interest Rates to 40%

Turkish Central Bank raised interest rates double the expected. (The central bank’s website)
Turkish Central Bank raised interest rates double the expected. (The central bank’s website)

Türkiye’s central bank raised its policy rate by a larger-than-expected 500 basis points to 40% on Thursday, in an unexpected step.
The central bank is expected to raise its policy rate by 250 basis points to 37.5% this week, and reach 40% by year-end, a Reuters poll showed on Monday.
The bank has raised its one-week repo rate (TRINT=ECI) by 3,150 basis points since June.
The existing level of domestic demand, and geopolitical risks keep inflation pressures alive, the bank said following the Monetary Policy Committee meeting.
The committee will determine policy decisions to create the necessary financial conditions for a sustained decline in the underlying inflation trend, aiming to reach the 5 percent inflation target in the medium term.
The improvement in external financing conditions, continued increase in foreign exchange reserves, positive impact of demand rebalancing on current account balance, and the increase in domestic and foreign demand for Turkish lira-denominated assets contribute significantly to exchange rate stability and the effectiveness of monetary policy.
In light of these developments, a decline in the underlying trend of monthly inflation is observed.
Indicators of inflation and underlying trend of inflation will be closely monitored, and the Committee will continue to decisively use all the tools at its disposal in line with its main objective of price stability.
The Committee will continue to make its decisions in a predictable, data-driven, and transparent framework.
According to the monthly consumer tendency survey released by the Turkish Statistical Institute (TUIK), the consumer confidence index in Türkiye was up by 1.1% month-on-month in November this year to 75.5 points.
Sub-indices for the present financial situation of households increased 2.7% and financial situation expectations of households over the next 12 months gained 2.6%.
The index for general economic situation expectations over the next 12 months went up 0.6% in November from the month prior.
On the other hand, assessments on spending for durable goods over the next 12 months fell 0.6%.

Most Viewed

 
 
Business

Saudi Energy Minister Emphasizes Arab Cooperation in Addressing Energy Challenges

Group photo of the ministers and members of the Board of Directors of the Arab Energy Fund. (SPA)
Group photo of the ministers and members of the Board of Directors of the Arab Energy Fund. (SPA)
TT
TT

Saudi Energy Minister Emphasizes Arab Cooperation in Addressing Energy Challenges

Group photo of the ministers and members of the Board of Directors of the Arab Energy Fund. (SPA)
Group photo of the ministers and members of the Board of Directors of the Arab Energy Fund. (SPA)

Saudi Energy Minister Prince Abdulaziz bin Salman underscored the importance of Arab collaboration in overcoming energy sector challenges and promoting sustainability, calling for restoring Arab unity and joint action to achieve strategic goals in energy.

He made his remarks at the 50th-anniversary celebration of the Arab Energy Fund (formerly APICORP) in Riyadh, attended by UAE Energy Minister Suhail Al Mazrouei, Kuwaiti Oil Minister Tareq Al-Roumi, Libyan Oil and Gas Minister Dr. Khalifa Abdul Sadiq, and Qatari Energy Minister and CEO of QatarEnergy Saad Al-Kaabi.

Prince Abdulaziz expressed pride in hosting the event, reaffirming Saudi Arabia’s commitment to supporting Arab energy initiatives. He highlighted the ongoing restructuring of the Arab Energy Organization to better align with future needs, ensuring its role in sustainable development and meeting member states’ demands.

The minister noted that upcoming projects by the Arab Energy Fund will diversify energy sources while aligning with global efforts to reduce emissions and combat climate change.

The Arab world is committed to adapting to the evolving energy landscape while maintaining regional identity and cooperation, he added.

Arab unity and collective action are essential for addressing regional and international challenges, whether economic, social or cultural, he remarked.

CEO of the Arab Energy Fund, Khalid Al-Ruwaigh pointed to the institution’s progress since its founding in 1975 with a capital of $320 million. He revealed that over five decades, its assets have grown to exceed $10 billion, reflecting its role in supporting the energy sector and sustainability efforts.

Al-Ruwaigh said the fund’s success is measured not just by its financial growth but also by its impact on energy development. He announced a new strategic vision focused on innovative financial solutions, including debt instruments and investments in both conventional and renewable energy, to support member states’ sustainability goals.

Relocating the fund’s headquarters to Riyadh reinforces its position as a trusted financial institution in a major global financial hub, he noted

Moreover, Al-Ruwaigh unveiled the fund’s new identity and logo, symbolizing Arab cooperation for sustainable energy development. The logo’s triangular elements represent the ten member states, while its circular design reflects the fund’s commitment to a circular economy and long-term energy sustainability.