The Turkish Central Bank, despite officially declaring its one week repo policy interest rate as 8.25%, in practice is applying a rate of 9.75% for its one week swap agreements with banks. The Bank has been forced to increase its back door monetary policies to squeeze liquidity in order to relieve pressure on the Turkish lira. However, the official policy rate of 8.25% is now a rate in name only, as the Bank is continually looking at all means available to support the Turkish lira without touching the official policy interest rate, any increase of which would attract the wrath of the Turkish President. Yesterday, the Bank decided for the third month in a row to leave the policy rate unchanged.