The President of the Central Bank, Fatih Karahan, emphasized that there is no disruption in the fundamental dynamics of the economy and stated, “We have taken and will take the necessary steps proactively within market rules.”

Speaking at the Economy Meeting organized by the German-Turkish Chamber of Commerce and Industry in Istanbul, President of the Central Bank Fatih Karahan said, “We have taken and will take the necessary steps proactively within market rules. We will not allow demand conditions to disrupt the disinflation process.”

In his speech evaluating the effects of the current agenda on the economy, Karahan said, “Recent developments have increased upward risks for April inflation. Despite these developments, inflation expectations continue to run above our disinflation policy. We will maintain a steadfast stance in monetary policy. Increases of 3% in the exchange rate, 71 basis points in country risk premium, 4.5 points in the 10-year benchmark bond yield, and 15 points in 1-month exchange rate volatility have been observed. We have quickly taken necessary measures to prevent these increases from disrupting the macroeconomic outlook. There is no disruption in the fundamental dynamics of the economy. If a significant deterioration in inflation is observed, we will tighten monetary policy. In order to ensure the effective functioning of financial markets, we will continue to use all monetary policy tools decisively within market rules. We will take our steps to limit the macroeconomic effects of the impacts in the markets.”