Turkish Central Bank raises interest rate to 45%

The Turkish central bank raised interest rates on Thursday by 250 basis points from 42.5 percent to 45 percent, as part of the monetary policy aimed at tackling inflation - this marks the eighth straight hike in interest rates since the May, 2023 presidential elections.

The bank increased the main interest rate from 42.5% to 45%, stating that it would "maintain this level as long as necessary."

Inflation in Turkey rose to almost 65 percent in December, 2023 - up from 62 percent in November.

The Turkish Lira is down 38 percent against the United States dollar year-to-date and has lost more than 80 percent of its value over the past five years