Turkey and Brazil Keep Some of World’s Highest Interest Rates

Turkey’s central bank left its policy rate unchanged at 37% in July, extending a monetary‑policy pause for a fourth meeting. International banks forecast modest cuts later in the year – BBVA Research sees the rate falling to 36% by year‑end if conditions allow, while Citi projects a 35% rate at year‑end and Goldman Sachs warns rates may stay elevated longer. July consumer inflation eased to 31.75% from 32.11% in June.

In Brazil, the central bank cut the Selic to 14% from 14.25%, making it the third‑highest benchmark rate among the world’s 40 largest economies. Only Argentina (29%) and Turkey (37%) have higher rates; Russia now ties Brazil at 14.5%. The ranking was compiled by economist Jason Vieira of Lev and the Moneyou portal.