After the recent market volatility, the economic management has put a new set of measures on its agenda. It has been stated that a reduction in the withholding tax on deposits is being considered in this context. Additionally, deposit interest rates in banks have surpassed the policy rate of 42.5 percent.

The withholding tax on deposits and funds was increased by 5 points in February. It is now planned to reduce the tax again following the latest developments. According to Bloomberg agency, the economic management has brought a new set of measures to the agenda in response to the fluctuations in the markets. The initial consideration is to reduce the withholding tax rate on deposits and funds. This regulation is aimed at supporting the Turkish Lira.

The withholding tax on term deposits for up to 6 months was increased from 10 percent to 15 percent on February 1st. The deduction in funds was also raised by the same rate. DEPOSIT INTEREST ABOVE THE POLICY RATE

On the other hand, the movement in deposit interest rates did not go unnoticed. With expectations rising that the Central Bank will keep interest rates stable, deposit interest rates have reached 45 percent. Short-term deposits have once again risen to the range of 45-47 percent. Last week, the interest rate on 32-day term deposits was applied at 42.5 percent.

Thus, deposit interest rates have exceeded the policy rate of 42.5 percent.