ISTANBUL--Turkey's economy minister said Thursday that he expects the central bank to continue policies that would support economic growth ahead of a Monetary Policy Committee meeting, putting pressure on the national lender for a second time in as many months to loosen its stance.
The central bank cut rates last month and is expected to hold steady Thursday, according to a survey of eight economists by Dow Jones Newswires. Governor Basci varies funding costs for Turkish banks daily under the interest-rate corridor to fight inflation and support the lira.
Expansion of gross domestic product will be driven by exports in 2012, Mr. Caglayan said Thursday in a televised speech. He added that the government also forecasts the current account deficit to decline to as low as 7.7% of output on the back of rising sales abroad.
The external financing gap that relies on international funds dropped to $63.5 billion in June, or about 8% of GDP, from a record $78.6 billion, or 10% of economic output, in October. Economists and businessmen expect the current-account gap to end the year at 8% of GDP, according to a central bank survey published last week.
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