Fatih Karahan became the President of the Central Bank: First assessment from Morgan Stanley: ‘Conventional monetary policy framework…’

American investment bank Morgan Stanley shared a remarkable evaluation regarding the resignation of Hafize Gaye Erkan at the Central Bank (CBRT) and the appointment of Fatih Karahan in his place.

Evaluating Hafize Gaye Erkan’s resignation, citing personal reasons, after only nine months as the CBRT President, and President Erdoğan’s appointment of Fatih Karahan as the new CBRT President, Morgan Stanley said, “The CBRT will continue its traditional monetary policy framework, which prioritizes the fight against inflation, under the management of President Karahan.” “We expect it to happen,” he said.

Morgan Stanley argued that Fatih Karahan, along with Cevdet Akçay and Hatice Karahan, was appointed as vice president and MPC member of the CBRT in July, and that he played a key role in the latest tightening steps of the CBRT, which accelerated in August after their appointment.

8 FEBRUARY WAS MENTIONED

He explained this change of duty at the CBRT by saying, “Our view: Unlike the previous presidential changes in 2019 and 2021, this situation does not indicate a change in policy direction or a political preference for lower interest rates. The traditional monetary policy of the CBRT, which prioritizes disinflation “We expect it to continue within its framework.” JPMorgan“We will have the chance to listen to policy messages at the Inflation Report press conference to be held by the CBRT next Thursday (February 8),” he said.