Turkish Central Bank 'to use all tools' to calm markets

Turkish Central Bank 'to use all tools' to calm markets

ANKARA- Anadolu Agency
Turkish Central Bank to use all tools to calm markets

Turkey's Central Bank on Aug. 6 said it was ready to use "all available instruments to reduce the excessive volatility in the markets."

In a written statement, the bank declared that fiscal and monetary policies had been successful in containing the effects of the novel coronavirus pandemic on the economy and maintaining the productive capacity in Turkey.

Adding that it was closely monitoring price developments in the market, it pointed out that recent figures suggested that economic recovery from the pandemic's effects had gained pace.

It said that with economic activity normalizing as of early August, current targeted additional liquidity facilities would be phased out.

Turkey’s lira on Aug. 6 hit a record low of 7.30 against the dollar, from the previous day’s close of 7.03. Previously, the lira had fallen to 7.26 in May.

Lira is down nearly 20 percent versus the dollar so far this year, despite the greenback’s own weak performance in recent weeks.

The Central Bank’s next Monetary Policy Committee meeting is scheduled for Aug. 20.