By Jared Malsin
ISTANBUL-Turkey's central bank raised interest rates to 17.5% on Thursday, its second consecutive increase as a new team installed by President Recep Tayyip Erdogan attempts to rescue the country's troubled economy.
The bank said it raised the country's benchmark interest rate, the one-week repo rate, to 17.5% from 15%, after increasing rates in June for the first time since 2021. The increase was lower than expected by some analysts who have called for the bank to take aggressive action to tamp down on inflation.
The decision is the latest by the country's new central bank governor, Hafize Gaye Erkan, a former executive of First Republic Bank and Goldman Sachs, who was appointed after Erdogan won a close-fought re-election in May.
Write to Jared Malsin at jared.malsin@wsj.com
(END) Dow Jones Newswires
07-20-23 0721ET
