Turkish central bank narrows rate corridor with cut
CBRT keeps policy rate on hold
The Central Bank of the Republic of Turkey (CBRT) surprised markets today (March 24) by cutting not its main policy rate but the overnight lending rate.
The overnight rate, which forms the upper bound of the central bank's rate corridor, was cut from 10.75% to 10.5%. The bank held the main policy rate, the one-week repo rate, at 7.5%.
The CBRT said the move was the first step in its plan to normalise its complicated interest rate system, which was established to tackle volatility brought about
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