As we enter decision week for the policy rate, movement in deposits continues. Interest rates on deposits have reached 50 percent again after months. The rise in deposit interest rates continued following the Central Bank’s tight monetary policy measures. After dropping below 45 percent with the start of the interest rate reduction cycle, deposit rates are now seen reaching 50 percent again. This rate was included in the promotional offers of banks to new customers. Short-term deposit offers mainly ranged between 45-47.5 percent. DECISION WEEK ON INTEREST RATES All eyes in domestic markets are on the interest rate decision that the Central Bank of the Republic of Turkey (CBRT) will announce on Thursday. It is expected that the CBRT will keep the policy rate at 42.5 percent. WHY DID DEPOSIT INTEREST RATES RISE? In March, the CBRT held an extraordinary meeting to update the interest rate corridor. The Bank increased the overnight borrowing rate by 2 points to 46 percent to reduce the impact of sudden market movements on inflation. The starting of market funding above the policy rate also led to a rise in deposit interest rates. HOW MUCH WOULD 500,000 LIRA EARN? Principal: 500,000 lira Term: 32 days Interest rate: 50 percent End-of-term amount: 518,630 lira Net gain: 18,630 lira HOW MUCH WOULD 1 MILLION LIRA EARN? Principal: 1 million lira Term: 32 days Interest rate: 50 percent End-of-term amount: 1,037,260 lira Net gain: 37,260 lira