ISTANBUL, Jan 27 (Reuters) - Turkey's central bank hiked its year-end annual inflation forecast to 23.2%, from 11.8% previously, and its chief dismissed the notion that a series of unorthodox interest rate cuts sent inflation soaring and the lira tumbling.
read moreBut the central bank, which has consistently undershot actual inflation in the last few years, said inflation was heading lower and predicted a mid-point of 23.2% for the consumer price index at end-2022.
The lira weakening "has nothing to do with the rate cuts" and would have happened irrespective, said Kavcioglu, whom Erdogan appointed in March of last year.
He added that rising inflation was not completely due to rate cuts.
Erdogan, who has long held the unorthodox view that interest rates cause inflation, launched a new economic programme last year that prioritises low rates, exports, lending and investment.
Jan, Sahap Kavcioglu, Tayyip Erdogan, Kavcioglu, Erdogan, Nevzat Devranoglu, Jonathan Spicer