Survey forecasts interest rates drop in Turkey

By Murat Aslan

ISTANBUL (AA) - Economists expect Turkey's Central Bank to cut interest rates this week, according to an Anadolu Agency survey on Monday.

The last Monetary Policy Committee (MPC) meeting of the year will be held on Dec. 12, to announce the bank's decision on interest rates.

A panel of 14 economists surveyed by Anadolu Agency forecast an average fall of 150 basis points on the one-week repo rate, with the lowest estimate at 100 basis points, and the highest at 225.

Last month, the bank kept its one-week repo rate -- also known as the bank's policy rate -- constant at 24 percent.

In October, the CBRT cut its one-week repo rate by 250 basis points to 14%, down from 16.50%.

Since the beginning of this year, the bank has cut the rate by a total 1,000 basis points.

Holding eight MPC meetings this year, the bank announced last week it would increase the number of its monetary policy committee meetings to 12 next year.