Turkey’s central bank has lowered its key interest rate by 2.5 percentage points to 47.5%, carrying out its first rate cut in nearly two years as it tries to control soaring inflation.

The decision to cut interest rates follows 18 months of monetary tightening and comes amid ongoing efforts to stabilize the country’s runaway inflation.

Turkey’s central bank lowered interest rates for the first time in almost two years after consumer inflation showed signs of easing and said that future easing steps would depend on price data.

Turkey's central bank lowered its key interest rate on Thursday, the first cut in nearly two years as it battles with double-digit inflation.