ISTANBUL Aug 27 Turkey's central bank cut its
overnight lending rate to 11.25 percent from 12 percent on
Wednesday despite stubbornly high inflation, at its first rate
meeting since Prime Minister Tayyip Erdogan was elected
It also cut its primary dealers overnight borrowing rate to
10.75 percent but left its other rates unchanged.
In a Reuters poll of 20 banks prior to the meeting, 13 said
they expected the central bank to leave its main weekly repo
rate at 8.25 percent. Six predicted a 0.25 percentage point cut,
and one expected a cut of half a percentage point. None had
forecast any change in the 12 percent overnight lending rate.
(Reporting by Daren Butler; Writing by Dasha Afanasieva)