Turkey Holds 37% Repo Rate for 4th Meeting as Middle East War Lifts Energy Risks

2 articles · Updated · Bloomberg · Jul 23

Turkey’s central bank left its one-week repo rate at 37% on Thursday, extending a pause that all 20 analysts in a Bloomberg survey had expected.
The hold reflects concern that the Middle East war and a spike in oil and other energy prices could disrupt Turkey’s still-fragile disinflation process.
Governor Fatih Karahan’s Monetary Policy Committee has now kept the benchmark unchanged for a fourth straight meeting, signaling caution rather than a shift toward easing.
The decision underscores how external shocks are complicating Turkey’s inflation fight, with energy costs adding pressure even as policymakers try to preserve price stability.