Important Change in TCMB Interest Rate Forecast from Societe Generale

Societe Generale's Forecast: Interest Rates Are Being Updated

The French investment bank Societe Generale has made a new assessment regarding the interest rate policies of the Central Bank of the Republic of Turkey (CBRT). In light of economic data and global developments, the bank's analysts indicate that it is likely the CBRT will increase interest rates in the short term.

Economic Indicators and Interest Rate Predictions

Societe Generale expects Turkey’s inflation rates to rise to as much as 60% by the end of the year. This situation emerges as a factor that strengthens the CBRT's position. The bank estimates a 25% interest rate hike for 2024, elevating the forecast that the Central Bank’s fight against inflation will continue.

Market Reactions and Strategic Recommendations

The impact of these predictions on the markets is noteworthy. Rising interest rates are expected to reduce pressure on the Turkish Lira and encourage domestic investments. Furthermore, investors are being warned to turn to foreign currency accounts. Analysts at Societe Generale emphasize that care should be taken with stock market investments.

Conclusion and Expectations

Societe Generale's current predictions provide an important roadmap for Turkey's economic stabilization. The decisions made by the CBRT could have a significant impact not only on the domestic market but also on international investors. It is critical for investors to closely monitor developments and update their strategies accordingly.