Since 2006 Turkish central bank has officially been in pursuance of price stability after reforms such as law amendments regarding the formation of the bank differ the way the bank function. Until 2009, the bank irrefutably had been on the path to achieve price stability.…
The 2001 crisis and the following the post-crisis period were important milestones for economic policy-making in Turkey as well as for the monetary policy. In 2002 Turkish Central Bank adopted a modern monetary policy with primary objective of achieving price stability after the bank had…
Inflation targeting is a successfully pursued monetary policy in countries who suffered high inflation for years such Zimbabwe. Turkey also set a new policy framework in purpose to lower the inflation and stabilize the currency rates. Under normal circumstances interest rates are expected to raised…
In a previous post, we refereed to depositors losing confidence in lira. This has been the main reason behind the weakness of lira. Because it is clear that there has not been any capital outflow enough to cause a dramatic decline in lira, it was…
I might be the luckiest blogger posting about economics around the cyber world. My last post was questioning if Turkish Central Bank has enough foreign exchange reserves or not, I used some metrics to get the question answered such as gross foreign exchange reserves to…