Turkey's Central Bank Hikes Rates to 40% in Fight Against Inflation

The larger-than-expected rate hike marks the sixth in a row, with inflation expected to peak at 70-75% in May 2024.

Turkey's central bank has raised its policy rate by a larger-than-expected 500 basis points to 40% on Thursday, marking its sixth big interest rate hike in a row.
The bank has raised its one-week repo rate by 3,150 basis points since June.
The central bank's decision follows a series of interest rate increases aimed at combating high inflation and a falling lira.
Inflation in Turkey stood at 61.36% in October and is expected to peak in May 2024 at around 70-75%.
The lira has firmed to as far as 28.51 against the dollar following the statement and stood at 28.7685 at 1200 GMT.