Lira Slides After Turkey Central Bank Keeps Main Rates on Hold
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The lira fell toward a record after Turkey’s central bank kept all three of its main interest rates on hold amid accelerating inflation and jitters over the outcome of June’s parliamentary elections.
The Turkish currency declined 1.1 percent to 2.7155 against the dollar at 5:43 p.m. in Istanbul. Policy makers left the benchmark one-week repurchase rate at 7.5 percent for a third month, while overnight lending and borrowing rates were kept at 10.75 percent and 7.25 percent, respectively. A foreign-exchange lending rate was lowered by 50 basis points and interest on lira reserves was increased by the same amount.