Turkey’s central bank reduced its Overnight Lending Rate to 39.00% in October 2026, easing slightly from 40.00% in September 2026. The move marks a modest step down from the previous month’s level, suggesting a cautious shift in the country’s interest-rate stance after reaching that recent peak.
The October adjustment, updated as of 22 October 2026, indicates that policymakers may be testing room for lower borrowing costs while still maintaining very tight monetary conditions. With the lending rate remaining firmly in the high double digits, the central bank continues to prioritize financial stability and inflation control, even as it begins to dial back the most restrictive settings.
Market participants will be watching how this incremental reduction in October shapes funding conditions and short-term liquidity, and whether it signals the start of a gradual easing cycle or simply a fine-tuning of already restrictive policy levels.