Turkish CB keeps interest rates steady in Sept

The central bank also kept the lending rate steady at 20.25 percent following its September Monetary Policy Committee meeting.Central Bank said a measured rate cut will be taken into agenda given the positive outlook at commodity prices and inflation continues.

However, the global uncertainties continuing increasingly in the recent time requires to be cautious at monetary policy decisions, the bank also said.

"The problems at international credit markets and global economy will continue to limit the internal and the external demand. Beside this, the positive outlook at food prices and sharp decline at oil prices will have a positive impact on inflation. In this context, the inflation is forecasted to decline gradually," the bank added.

The central bank's decision to keep rates on hold was widely expected by analysts.

Turkish central bank had increased interest rates by 1.5 percentage points in the April-July period to fight inflation fueled by rising global oil and food costs but hold rates steady in August.

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