The Central Bank of the Republic of Turkey (CBRT) has announced that it is not changing its policy rate, a move which is likely to unsettle investors about the direction of monetary policy, reported local newswire Anadolu.

In a statement, CBRT said that it is keeping its bank's policy rate constant at 17.75 per cent, the rate which was increased by 1.25 per cent from 16.50 per cent in June.

The country’s inflation hit its highest in 14 years in June, at 15.39 per cent as the weakening lira drove up food and other prices.

The central bank has hiked interest rates by 500 basis points since late April in an effort to put a floor under the currency.

Erdogan, has scared investors with his calls for lower interest rates as well as appointing his son-in-law Berat Albayrak to the post of treasury and finance minister, deepening concerns about the outlook for monetary policy.

© 2018 CPI Financial. All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.