Turkish currency and debt crisis
The Central Bank of Turkey has announced that it will hold an extraordinary general meeting on Feb. 3.
The advance payment of from the bank's 2021 profits to the shareholders and the distribution of reserve funds will be discussed at the meeting next month. The Treasury owns almost all shares o the Central Bank.
International credit rating agecny Moody's has revised up its Turkey growth forecast for this year from 9.2 percent to 11 percent.
"Moody's expects that real GDP growth will slow to around 4 percent in 2022, compared to this year's extraordinary growth rate that Moody's estimates will come in at around 11 percent," Moody's said on Dec. 3.
The Organization for Economic Co-operation and Development (OECD) has revised up its 2021 growth forecast for Turkey by 0.6 percentage points to 9 percent.
"In the absence of further shocks, GDP growth is projected to be 9 percent in 2021 before easing to 3.3 percent in 2022 and 3.9 percent in 2023," the OECD said in its Economic Outlook report released on Dec. 1.
Turkish President Recep Tayyip Erdoğan on Nov. 30 again rejected the idea of raising interest rates.
"With the new economic model, we reject out of hand the policy of attracting hot money with high interest rates," Erdoğan said in an interview on state TV.
"We will support production and exports with lower rates," Erdoğan stated.