The Central Bank of the Republic of Turkey (CBRT) is expected to keep its benchmark interest rate unchanged at 17% at its meeting on Thursday, the latest Reuters poll of economists showed.

Key findings

“The central bank will keep its one-week repo rate at 17%. One economist expected a hike to 17.75%, while four others expected a hike to 18%.”

“The median estimate of 18 economists for the policy rate at year-end stood at 14%, with estimates ranging between 17% and 12%.”

“Eleven of the economists surveyed on the timing of the first-rate cut pointed to the third quarter while four of them said the policy easing could come in the final quarter. One respondent said an initial rate cut could come in Q2.”

USD/TRY off the lows

USD/TRY is off the two-day lows of 6.9510, trading at 6.9572 ahead of the central bank’s policy rate decision due later today at 1100 GMT. It’s worth noting that the lira declined some 20% last year.