Turkish cenbank lowers reference interest rate for September

Turkey’s central bank lowered its reference interest rate to 15.34% for September, from 16.32% in August, according to an official document, in a move that is likely to lower interest rates on corporate loans.

On Saturday, the central bank unveiled new required bond holdings for lenders meant to address the widening gap between the bank’s policy rate and lending rates.

One requirement is that lenders to hold bonds for corporate loans extended at certain coefficients above the central bank’s reference rate.