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Iran Conflict 2026
21SEP

Türkiye holds at 37% on energy risk

1 min read
15:34UTC

Turkey's central bank left its policy rate unchanged on 10 September and named elevated energy prices amid geopolitical developments as an upward risk to inflation.

ConflictAssessed
Key takeaway

Gulf shipping risk is now an input to Turkish monetary policy in all but name.

The Central Bank of the Republic of Türkiye held its policy rate at 37% on Thursday 10 September, where it has stood since 23 July, and named elevated energy prices amid geopolitical developments as an upward risk to inflation 1.

It named neither Iran nor any sanctions action. Central banks rarely do, because a rate-setting committee that attributes its decision to a named conflict has committed itself to a forecast about that conflict, and it would then have to explain every revision. The euphemism is doing real work all the same: Türkiye imports almost all of its oil and gas, and the energy prices its statement points at are the ones this war is setting.

OFAC designated three Turkish institutions on 4 September , putting the war inside Türkiye's own financial system days before the committee met. Türkiye had been on an easing path, and this decision defers the relief that borrowers and the treasury were pricing in. The transmission runs through the current account: a higher import bill for crude widens the external deficit, weakens the lira, and feeds back into domestic prices through everything Türkiye buys abroad. Cutting into that would compound the pressure the committee has just flagged.

So the war reaches an economy with no combatant role and considerable exposure, through the price of a cargo rather than through any decision made in Ankara.

Deep Analysis

In plain English

Turkey's central bank sets the interest rate at which it lends to other banks, which influences borrowing costs and inflation across the economy. On 10 September, it kept that rate unchanged at 37 per cent, the same level it held at its previous decision in July. It said high energy prices linked to regional tensions were a risk to inflation, but also pointed to weaker demand at home pulling inflation the other way. The bank did not mention Iran, the Strait of Hormuz or the sanctions against the Turkish financial group Golden Global by name in its September statement, even though all three fall within the period since its last decision.

First Reported In

Update #177 · 23 to 3: Iran goes to the Security Council

Central Bank of the Republic of Türkiye· 11 Sept 2026
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Causes and effects
This Event
Türkiye holds at 37% on energy risk
A rate decision in Ankara is now partly a function of what happens in the Gulf of Oman, without the bank saying so.
Different Perspectives
Shipping and insurance industry
Shipping and insurance industry
UKMTO counted about 20 US-facilitated Hormuz transits a day to 11 September against only 6 visible on AIS, with traffic still around 90% below the 138-a-day pre-war baseline. War-risk underwriters cannot price hulls they cannot see, or resolve whether the tanker El Gaia hit a mine, as Iran claims, or a missile and drone, as CENTCOM says.
European refiners
European refiners
European refiners, including Poland's Orlen, absorbed a roughly $26 gap between Dated Brent at $130.80 on 15 September and ICE Brent futures settling at $103.87 on 18 September, a spread that widened from $13.45 on 9 September rather than newly opening. Their futures hedges no longer cover what they now pay for physical barrels.
Saudi Arabia
Saudi Arabia
Saudi Aramco zeroed European term customers' October allocations and rerouted roughly 60 million barrels to Asia through Ras Tanura and Sohar, using Red Sea and Gulf terminal capacity built years ago to cut Hormuz exposure. Riyadh reallocated existing supply rather than negotiating a shortfall with Europe.
Qatar
Qatar
Qatar's energy minister Saad al-Kaabi told Bloomberg at the Qatar Economic Forum on 20 September that Bessent's two-year Hormuz-obsolescence forecast is wrong, and that Doha has deliberately built no bypass pipeline. Qatar's gas exports run through one waterway by choice, not oversight.
Iran (foreign ministry and Majlis)
Iran (foreign ministry and Majlis)
Iran's foreign ministry and 130 Majlis deputies moved toward NPT withdrawal this week, with lawmaker Hossein-Ali Haji Deligani filing a triple-urgency bill on 20 September that Speaker Qalibaf has not yet scheduled. Tehran treats treaty membership as leverage still on the table, not yet spent.
Russia and China
Russia and China
Moscow and Beijing vetoed the Panel of Experts' renewal, maintaining Resolution 2231 lapsed in October 2025 and the 2025 snapback was never validly triggered, so the sanctions architecture the Panel enforces has no current legal standing. Both governments frame the veto as upholding law, not shielding Tehran.