Turkish central bank raises key interest rate to 50% as inflation soars

ANKARA, Turkey (AP) — Turkey’s central bank has raised its key interest rate by 5 percentage points, resuming a policy of rate hikes aimed at combating soaring inflation that is causing households severe economic pain. In a surprise decision Thursday, the central bank said it was raising its benchmark one-week repo rate to 50%. The bank was widely expected to keep the benchmark rate on hold for a second month running, ahead of mayoral elections on March 31. The bank said it had decided to raise the benchmark rate “in response to the deterioration in the inflation outlook.” The annual consumer price inflation rose to 67% in February,