“Turkey is determined to implement a low-interest-rate policy,” said the nation’s Deputy Finance Minister Nureddin Nebati during early Friday.
The policymaker adds, “Rates should be decreased to combat supply-side inflation.”
“Turkey targets high job creation, high exports, low current account deficit and low foreign debt with a policy based on ‘low rates, high production volume,'” per the Diplomat.
Following the news, USD/TRY picks up bids to $12.15, up 1.35% on a day, while snapping the two-day pullback from the record top.
It should be noted, however, that the covid woes weigh on the US Treasury yields and the US Dollar Index (DXY) to keep the USD/TRY bulls in check.