The countdown has begun for the interest rate decision that will deeply impact the economy.

In global markets, positive trends emerged last week following the favorable signals from the inflation data released in the US and the banks announcing profits above expectations. This week, attention has turned to the interest rate decision of the Central Bank of the Republic of Turkey (CBRT) to be announced domestically.

FOCUS ON CBRT'S INTEREST RATE DECISION

In the past two weeks domestically, an upward trend has been prominent. All eyes are on the interest rate decision to be announced by the CBRT on Thursday at 14:00. It is anticipated that many macroeconomic indicators, especially housing and vehicle prices, may change with the Central Bank's new interest rate decision.

Economists participating in the AA Finance expectation survey expect the CBRT to cut the policy interest rate by 250 basis points to 45% in January. The expectation survey conducted by AA Finance regarding the Monetary Policy Committee (MPC) meeting to be held on January 23, Thursday, was concluded with the participation of 17 economists. The median expectation of economists for the policy interest rate at the end of 2025 was 30%.

EXPECTATION OF A SERIES OF INTEREST RATE CUTS

In the MPC meeting held last month, the policy interest rate was reduced by 250 basis points from 50% to 47.50%. On the other hand, the Dollar/TL closed the week at 35.4620, 0.1% above the previous closing. Next week, housing sales on Tuesday, the CBRT interest rate decision on Thursday, the Consumer Confidence Index, and Moody's credit rating assessment report for Turkey on Friday will be followed domestically.