Turkey central bank acts to support lira after polls
Turkey's central bank
Ankara - Arab Today
Turkey's central bank said Monday it was pruning its short term foreign exchange deposit rates, in a bid to support the lira amid political uncertainty after legislative elections at the weekend.
It said the interest rate has been reduced from 4 percent to 3.5 percent for dollar deposits and from 2 percent to 1.5 percent for those in euro, effective from Tuesday.
The decision was due to "recent global and local developments", it said, after the ruling party lost its overall majority in legislative elections.
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