Erdogan: head of Central Bank did not follow government’s instructions
Baku, Azerbaijan, July 10
By Rufiz Hafizoglu - Trend:
The former Governor of the Central Bank of Turkey Murat Cetinkaya, did not follow the instructions of the government, said Turkish President Recep Tayyip Erdogan, Trend reports referring to Turkish media.
He noted that making changes in the leadership of the Central Bank of Turkey was a forced step.
“Inflation continued through the fault of the Central Bank in Turkey,” he said.
Murat Cetinkaya was removed from the governor role and replaced by Murat Uysal, who was serving as his deputy by the decree of President Recep Tayyip Erdogan, on July 6.
Earlier Erdogan criticized the activities of the Central Bank.
According to him, contrary to his recommendation to lower interest rates, the Central Bank raised the refinancing rate. The head of state said that the leadership of the Central Bank was taking actions ‘behind his back’.
Earlier, the head of state criticized the banking sector in Turkey for “insufficient contribution” to the country's economic development.
According to Erdogan, the Turkish authorities do not want to harm the financial sector; however, the banks must also pursue an acceptable policy of interest rates and credit conditions.
"We have the right to expect the banks to provide assistance in further strengthening the country," the president stressed.
According to the head of state, banks should act as a financial support for markets. “However, instead of lowering interest rates, banks use deposits as a means of enrichment. I am sure that the Central Bank will take decisive steps in this direction,” Erdogan added.
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