8 March 2017
In his speech on “Macroeconomic Outlook and Price Stability” at Denizli Platform of Industrialists, Merchants and Businessmen, Governor Murat Çetinkaya emphasized the following points:
• Economic activity displays a moderate recovery while the underlying trend in the current account balance shows a resumption of the improvement trend.
• Pass-through from recent exchange rate developments may lead to upside inflationary pressures in the short term; yet, with the support of the tight monetary stance, inflation is expected to trend downwards by mid-year.
• Monetary tightening to contain the possible deterioration in the pricing behavior emanating from the recent exchange rate volatility has been largely effective.
• Heightened global uncertainty necessitates a cautious monetary policy stance. Accordingly, pricing behavior will be closely monitored and further monetary tightening will be implemented if necessary.
• The CBRT remains focused on the main goal of price stability. All policy instruments will be used effectively to attain this objective.
• Additional support from structural policies is also essential for achieving price stability.
• Encouragement of nonfinancial corporates for prudent borrowing and effective risk management is a structural dimension which can be further improved.
Please click to access Governor Çetinkaya’s speech (in Turkish).
For further information, please contact Press Secretary Yücel Yazar.
Phone: +90 (312) 507 5656