Shafaq News / The Turkish government will shape its economic policies by focusing on "stability, trust and sustainability," Treasury and Finance Minister Mehmet Simsek said on Thursday following the central bank's rate hike.
Simsek tweeted that the country's economic philosophy is based on a framework determined by the principles of freedom of enterprise, the market economy, an open foreign exchange regime, a floating exchange rate system and an inflation-targeting model.
The decision taken by the central bank to hike the rates should be evaluated within this framework, he added.
The minister believed those principles would enhance financing investments and production and ensure the Turkish lira regains stability.
Earlier on Thursday, the central bank raised the benchmark interest rate by 650 basis points from 8.5 percent to 15 percent, the first such rise in 27 months.
The lira hit 24.49 against the greenback on Thursday afternoon after the rate hike decision, dropping further from Wednesday's rate of 23.55. The currency's depreciation against the greenback has exceeded 20 percent since the beginning of the year.
