ANKARA, Feb 9 (Reuters) - Turkey’s central bank will continue to use all available instruments in pursuit of its price stability objective, Governor Murat Cetinkaya said on Thursday, according to a summary of his remarks released by the bank.
In a speech to investors in London, Cetinkaya also said that inflation may further edge up in the short term before gradually coming down to 8 percent at the end of the year.
The bank’s current policy stance indicates a “clear and stable tightening” that will be preserved until there is a significant improvement in inflation dynamics, he said.
The central bank will stick with unorthodox measures to keep borrowing costs at five-year highs at least until inflation peaks this year, according to people familiar with its thinking. (Reporting by Nevzat Devranoglu; Writing by David Dolan; Editing by Daren Butler)