Barclays sets a date for interest rate cuts: Will there be a cut in September?
Barclays has announced that it expects the Central Bank of the Republic of Turkey to make its first interest rate cut in November, while the bank anticipates the policy rate will be lowered to 25 percent by August 2025.
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While the timing of the Central Bank of the Republic of Turkey's (TCMB) interest rate cuts remains a subject of curiosity, the UK-based bank Barclays has diverged with its new analysis.
Barclays Plc economists reported that they expect the Central Bank of the Republic of Turkey (TCMB) to begin interest rate cuts in November. Economists had previously expected the first cut in January.
In the Emerging Markets Quarterly Report published on Wednesday, economists including Ercan Ergüzel stated that they expect the TCMB to continue cuts of 250 basis points at each meeting following the first cut in November, and for the policy rate to be reduced to 25 percent by August 2025.
The economists project that the real policy rate will turn negative based on inflation in September 2025.