"Expectation of TCMB Interest Rate Cut: Latest Predictions from Economists"

Expectations Regarding the Monetary Policy Decision of the Central Bank of the Republic of Turkey

The Central Bank of the Republic of Turkey (CBRT) is facing new expectations regarding the Monetary Policy Committee (MPC) meeting to be held on October 23, Thursday. A survey conducted by AA Finance included the participation of 22 economists, and their forecasts concerning the MPC decision have taken shape.

Economists' Rate Cut Expectations

The median of the policy rate expectations of economists participating in the survey for the month of October has formed around a 100 basis point cut, bringing the interest rate down to 39.50%. In this context, the expectations for the policy rate among economists vary between 39% and 40.50%. Additionally, the median of the year-end forecasts has been determined as 37.5%.

Previous MPC Meeting and Reduced Policy Rate

In the previous MPC meeting, the CBRT reduced the policy rate by 250 basis points, lowering it from 43% to 40.50%. This situation created significant change in markets and economic expectations, igniting discussions regarding the trend of interest rates.

Possible Effects of Rate Cuts

Economists' forecasts for interest rate cuts are critically important in terms of their effects on economic growth and inflation. Reductions in interest rates can lower borrowing costs, thereby encouraging consumer spending and investments. However, this situation may also reshape inflation expectations. Experts emphasize that the decisions to be made by the CBRT will be decisive in ensuring economic stability.

As a result, before the MPC meeting on October 23, the expectations of economists and market reactions should be carefully monitored. The decision to be taken by the CBRT is of great importance for the future of the Turkish economy.