Turkey Central Bank Leaves Benchmark Rate at 7.5%

The video discusses the Central Bank's decision to cut the overnight lending rate to 9.5%, which was expected by economists. This decision, along with a cabinet reshuffle, led to a strengthening of the Turkish lira. The market reacted positively to the news that Deputy Prime Minister Mehmet Simsek would remain in his position, as he is trusted by financial markets. However, political uncertainty persists as the President aims to consolidate power by changing the Constitution to a presidential system, which could impact economic stability.

What was the new overnight lending rate set by the Central Bank?

• 11.5%

• 10.5%

• 9.5%

• 8.5%

How did the financial markets react to Mehmet Simsek's continued role?

• Negatively, causing the lira to weaken

• Positively, causing the lira to strengthen

• Indifferently, with no impact on the lira

• Negatively, causing the lira to remain stable

What was the main focus of the cabinet reshuffle announced by Spinelli Yildrim?

• Increasing defense spending

• Reducing taxes

• The role of Deputy Prime Minister Mehmet Simsek

• Improving healthcare

What is the main political goal of the new Prime Minister designate?

• To change the Constitution to a presidential system

• To reduce inflation

• To increase foreign investments

• To improve relations with neighboring countries

What is President Erdogan's objective regarding the political system?

• To shift to a presidential system

• To implement a monarchy

• To establish a coalition government

• To maintain the current parliamentary system