’Measured’ rate cuts on the way

For that reason, the bank’s monetary policy "may need to retain its flexibility on the downward side for a long time," the Ankara-based bank said Friday in minutes from a June 16 interest rates meeting published on its Web site. Any future rate cuts will be "measured," and the bank is ready to halt its sequence of cuts if it sees clear evidence of economic recovery, Bloomberg reported, citing the report.

A robust and permanent rally in economic activities has yet to be seen, reported Anatolia News Agency, citing the minutes published by the Central Bank’s Monetary Policy Committee. Although indicators show that the worse has come and gone, the economy’s recovery from recession will be "slow and gradual," says the bank.