Inflation targeting

If Bulgaria fails to meet European Central Bank inflation targets in June, its planned accession to the eurozone in 2025 could be delayed by months, the country's central bank governor has said.

Türkiye's Central Bank has decided to opt for lifting the key policy rate, increasing the one-week repo auction rate from 45 percent to 50 percent.

Most economists had expected the Central Bank, which held the policy rate steady last month after eight straight increases, to keep the rate unchanged at the Monetary Policy Committee (MPC) meeting on March 21.

The fight against inflation remains the government's priority, Vice President Cevdet Yılmaz has reiterated, voicing optimism that inflation will gradually come down as predicted in the medium-term program.

The European Central Bank froze interest rates again on Thursday as it held off from starting to cut borrowing costs amid concerns that sticky inflation is not easing as fast as hoped.

The Frankfurt-based institution's governing council held the benchmark deposit rate steady at a record four percent for a fourth straight meeting, as widely expected.

The European Central Bank is set to keep interest rates at record highs on Thursday and take baby steps towards cutting them in the coming months as inflation continues to fall despite stubbornly high underlying price pressures.

The European Central Bank is expected to freeze interest rates again this week, with officials wary of starting to cut before they see more evidence that recent falls in inflation will be sustained.

Conventional policies will be employed to curb inflation, Finance Minister Mehmet Şimşek has said, reiterating that there will be a steep fall in inflation in the second half of 2024.

New Central Bank Governor Fatih Karahan has said that the bank will maintain its tight monetary stance until inflation falls to levels consistent with its target, while the bank has kept its inflation targets for 2024 and 2025 unchanged.

Two US Federal Reserve officials indicated Wednesday that the nation's central bank is on track to tackle inflation, but that it is still too soon to begin lowering interest rates.

The Central Bank of Türkiye has hiked its key interest rate by another 250 basis points to 45 percent, also signaling an end to its aggressive tightening cycle.