Govt source­s cited Erdoga­n’s frustr­ation that bank has kept its benchm­ark intere­st rate at 24%ANKARA: Turkish President Tayyip Erdogan sacked the central bank governor for refusing the government’s repeated demands for rate cuts, Hurriyet newspaper on Sunday quoted Erdogan as telling a meeting with his party’s lawmakers. We told him that the rate cut would help inflation to fall. Under Turkey’s new executive presidency, which came into effect last year, Erdogan does not need cabinet approval to change the central bank governor. Several economists were already expecting a rate cut at a July 25 monetary board meeting as inflation fell to 15.7% in June, its lowest level in one year. It casts a shadow on Uysal, but he will be quite aggressive on rate cuts,” another Turkish economist told Reuters.

Source: The Express Tribune July 07, 2019 13:41 UTC