Consumption by rich fell sharply post-tightening – CBRT study
Research by Turkey’s central bank finds rate hikes caused wealthy to spend less and save more
A study by Turkey’s central bank published today (February 27) finds that sales of products aimed at people on high incomes fell sharply as a result of monetary tightening.
The research claims that retail sales of products catering to people on high incomes rose by only 16% on an annualised basis in the final quarter of 2024. This compared with a 60% rise over the 12 months to Q2 2023. The Central Bank of the Republic of Turkey (CBRT) began to raise the policy rate significantly in June 2023.
The
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