Will interest rates fall? A critical statement from the Ziraat Bank General Manager!

Ziraat Bank General Manager Alpaslan Çakar responded to questions from CNBC-e at the Agriculture Ecosystem Meeting, which was held for the fourth time this year.

He stated that he expects a meaningful interest rate cut decision to emerge from the Central Bank's Monetary Policy Committee meeting to be held on July 24. Çakar expressed that an improvement in inflation expectations has been observed due to the effect of the summer months and that this situation is preparing a suitable ground for an interest rate cut.

YEAR-END INFLATION FORECAST

Çakar emphasized that he anticipates inflation will decline to the 20 percent level by the end of the year and that the decrease in interest rates will proceed in line with the improvement in inflation expectations.

Touching on global developments, Çakar said that the Israel-Iran tension could negatively affect Turkey through energy and commodity prices, but that the Turkish economy has become more resilient against such external shocks. Çakar stated, "The order established after the Second World War is changing; Turkey is taking the right position while the new economic ecosystem is being established."

Stating that the Turkish economy is transitioning to a stronger and more sustainable structure, Çakar expressed that the difficult processes are behind us and that Turkey will be in a better position in the coming period.

News Source: 12punto