Interest rates

We won’t let high interest rates crush our people: Erdoğan


President Recep Tayyip ErdoÄŸan on Friday reiterated Turkey’s commitment to low interest rates, saying those who perceive high interest rates and monetary traps “as the fate of our nation have the mentality of learned helplessness “.

“These interest rates will go down. We will not let the high interest rates crush our people,” ErdoÄŸan said.

ErdoÄŸan said Turkey will continue with its new economic policy which prioritizes production, employment and a current account surplus.

The president was speaking in the Aegean coastal province of Izmir where he attended a ceremony for the delivery of a total of 596 homes and 145 stores to owners that were built after the earthquake that hit the city Last year.

ErdoÄŸan expressed his hope that the new residences and stores, a total investment of TL 2.2 billion ($ 180 million), will be beneficial for Izmir.

Turkey’s Deputy Finance Minister and Central Bank also reiterated their determination to continue implementing a policy of lowering interest rates, saying inflation would pass and the policy had helped boost commercial loans.

“Since 2013, every time we have tried to implement our low interest rate policy, we have encountered strong opposition. This time, we are determined to see it through, ”Deputy Treasury and Finance Minister Nureddin Nebati said on Twitter on Thursday evening.

He also stressed that the “manipulative attacks” on the Turkish lira will not leave lasting damage.

Amid high volatility, the pound hit a record low of 13.45 against the US dollar on Tuesday.

The Central Bank of the Republic of Turkey (CBRT) finally lowered the one-week repo rate from 100 basis points on November 18 to 15% and announced that further easing would come before year-end . It has cut rates by 400 basis points since September.

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