Turkey's Central Bank steps in

Turkey's Central Bank is seen to be taking a more assertive role in ensuring the future of the lira after it intervened in the foreign currency market last week, something that is very rare in Turkey. The bank sold lira for dollars and pulled in an estimated $2.5 billion dollars from the market. This comes at a time when the lira had been falling steadily over the past few weeks. The Central Ban also made a series of rate cuts, following positive inflation data. Overnight borrowing rates were cut from 16.5 percent to 15.5 percent and the overnight lending rate was cut from 20.5 percent to 19.5 percent. Â