Research Article
Text Structure and Readability Analysis in CBRT Communication: An Analysis of Monetary Policy Press Releases
Abstract
With globalization, the integration between markets has become a critical element for central banks in terms of communication with the market, to enhance the effectiveness of monetary policy and guide market expectations. Motivated by this, the study examines the text structure and readability levels of the monetary policy press releases published by the Central Bank of the Republic of Turkey (CBRT) between 2006 and 2025. The study utilizes siz measuring techniques to determine the readability scores of the announcement texts. The findings are compared on a presidential term basis, demonstrating changes over time. As a result, it was observed that the CBRT's monetary policy announcements are generally complex texts at a technical and academic level, with limited comprehensibility for the general public. For more effective communication, it is suggested that simplified texts be used and more accessible announcements be published to the public.
References
- Antunes H. & Lopes C.T. (2019). Analyzing the Adequacy of Readability Indicators to a Non-English Language. https://doi.org/10.1007/978-3-030-28577-7_10, Erişim Tarihi: 26.02.2025.
- Baumgärtner M. & Zahner J. (2023). Whatever it takes to understand a central banker: Embedding their words using neural networks, Institute for Monetary and Financial Stability Working Paper Series, No. 194.
- Bholat D. & Broughton N. & Parker A. & Ter Meer J. & Walczak E. & (2018). Enhancing central bank communications with behavioural insights.
- Bank of England Staff Working Paper, No. 750.
- Blinder A.S., Ehrmann M., Fratzscher M., Haan J.D., Jansen D.J. (2008). Central bank Communication and Monetary Policy: A Survey of Theory and Evidence. European Central Bank Working Paper Series No. 898.
- Carotta G. & Mello M. & Ponce J. (2023). Monetary policy communication and inflation expectations: New evidence about tone and readability. Latin American Journal of Central Banking, Volume 4, Issue 3, September 2023, 100088.
- Celler J. (2024). Readability and Sentiment Analysis of Central Bank Communication in Central and Eastern Europe. Journal of Advanced Computational Intelligence and Intelligent Informatics, Vol.28 No.4.
- Coenen G. & Ehrmann M. & Gaballo G. & Hoffmann P. & Nakov A. & Nardelli S. & Persson E. & Strasser G. (2017). Communication of monetary policy in unconventional times. ECB Working Paper, No 2080.
- Deslongchamps, Alexandre (2018). Readability and the Bank of Canada, https://www.bankofcanada.ca/2018/06/staff-analytical-note-2018-20/ #footnote-2, Erişim Tarihi: 18.02.2025.
- Evdokimova T. & Mohácsi P.N. & Ponomarenko O. & Ribakova E. (2023). Central banks and policy communication: How emerging markets have outperformed the Fed and ECB. Peterson Institute for International Economics Working Paper, WP 23-10.
- Ferrara F.M. & Angino S. (2021). Does clarity make central banks more engaging? Lessons from ECB communications. European Journal of Political Economy, Volume 74, 102146.
- Fullwood J. (2016). A cat, a hat and a simple measure of gobbledygook: How readable is your writing? https://bankunderground.co.uk/2016/10/04/a-cat-a-hat-and-a-simple-measure-of-gobbledygook-how-readable-is-your-writing/, Erişim Tarihi:
- Glas A. & Müller L.S. (2021). Talking in a language that everyone can understand? Transparency of speeches by the ECB Executive Board. http://dx.doi.org/10.2139/ssrn.3790506, Erişim Tarihi: 17.02.2025.
- Görgün, M. F., & Demireli, E. (2025). TCMB Para Politikası Basın Duyurularının Kosinüs Benzerliği, Konu Modellemesi ve Duygu Tonu Temelinde Analizi. Pamukkale Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, sayı 67, https://doi.org/10.30794/gsijses.1611268.
- Haldane A. (2018). Climbing the Public Engagement Ladder. Bank of England Speech, https://www.bankofengland.co.uk/-/media/boe/files/speech/2018/climbing-the-public-engagement-ladder.pdf, Erişim Tarihi: 11.03.2025.
- Haldane A. & McMahon M. (2018). Central Bank Communications and the General Public. AEA Papers and Proceedings, 108: 578–83.
- Huang J. & Simon J. (2021). Central Bank Communication: One Size Does Not Fit All. Reserve Bank of Australia Research Discussion Paper, RDP 2021-05.
- Istrefi K. (2019). Comment on: Enhancing central bank communications using simple and relatable information. Journal of Monetary Economics, 108 (2019) 16–20.
- Loughran T. & McDonald B. (2020). Textual Analysis in Finance. Annual Review of Financial Economics, 12:357–75.
- Keskin H. & Esen E. (2024). Themes and readability of integrated reports of banks from a circular economy perspective. International Journal of Bank Marketing, Vol. 43 No. 2, DOI: 10.1108/IJBM-01-2024-0028.
- Mathur A. & Sengupta R. (2019). Analysing monetary policy statements of the Reserve Bank of India. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3383869, Erişim Tarihi: 17.02.2025.
- Munday T. & Brookes J. (2021). Mark my words: the transmission of central bank communication to the general public via the print media. Bank of England Staff Working Paper, No. 944.
- Nicolay R. & Oliveira A.J. (2018). Inflation volatility, monetary policy signaling and clarity of the central bank communication: Evidence from an inflation targeting emerging economy. Journal of Economic Studies, Vol. 46 No. 2.
- Nicolay R. & Oliveira A.J. (2018). Inflation volatility, monetary policy signaling and clarity of the central bank communication: Evidence from an inflation targeting emerging economy. Journal of Economic Studies, Vol. 46 No. 2.
- Szyszko M. & Rutkowska A. & Kliber A. (2022). Do words affect expectations? The effect of central banks communication on consumer inflation expectations. The Quarterly Review of Economics and Finance, Volume 86.
- Tumala, M.M. & Omotosho B.S. (2019). A text mining analysis of central bank monetary policy communication in Nigeria. CBN Journal of Applied Statistics, Vol. 10 No. 2.
TCMB İletişiminde Metin Yapısı ve Okunabilirlik Analizi: Para Politikası Basın Duyuruları Üzerine Bir İnceleme
Abstract
Küreselleşme ile birlikte piyasalar arasında yaşanan entegrasyon merkez bankalarının piyasa ile iletişimini; para politikasının etkinliğini artırmak ve piyasa beklentilerini yönlendirmek adına kritik bir unsur haline gelmiştir. Bu motivasyonla çalışma, Türkiye Cumhuriyet Merkez Bankası (TCMB) tarafından 2006-2025 yılları arasında yayınlanan para politikası basın duyurularının metin yapısını ve okunabilirlik seviyelerini incelemektedir. Çalışmada, duyuru metinlerinin okunabilirlik skorlarını belirlemek amacıyla altı farklı ölçüm tekniği kullanılmıştır. Elde edilen bulgular, başkanlık dönemi bazında karşılaştırılarak zaman içerisindeki değişimler gösterilmiştir. Çalışma sonucunda, TCMB'nin para politikası duyuruları, genel olarak teknik ve akademik düzeyde karmaşık metinler olduğu ve kamuoyunun geneli tarafından anlaşılabilirliğinin sınırlı olduğu gözlemlenmiştir. Daha etkili bir iletişim için sadeleştirilmiş metinlerin kullanılması ve kamuoyuna daha erişilebilir duyurular yayınlanması önerilmektedir.
References
- Antunes H. & Lopes C.T. (2019). Analyzing the Adequacy of Readability Indicators to a Non-English Language. https://doi.org/10.1007/978-3-030-28577-7_10, Erişim Tarihi: 26.02.2025.
- Baumgärtner M. & Zahner J. (2023). Whatever it takes to understand a central banker: Embedding their words using neural networks, Institute for Monetary and Financial Stability Working Paper Series, No. 194.
- Bholat D. & Broughton N. & Parker A. & Ter Meer J. & Walczak E. & (2018). Enhancing central bank communications with behavioural insights.
- Bank of England Staff Working Paper, No. 750.
- Blinder A.S., Ehrmann M., Fratzscher M., Haan J.D., Jansen D.J. (2008). Central bank Communication and Monetary Policy: A Survey of Theory and Evidence. European Central Bank Working Paper Series No. 898.
- Carotta G. & Mello M. & Ponce J. (2023). Monetary policy communication and inflation expectations: New evidence about tone and readability. Latin American Journal of Central Banking, Volume 4, Issue 3, September 2023, 100088.
- Celler J. (2024). Readability and Sentiment Analysis of Central Bank Communication in Central and Eastern Europe. Journal of Advanced Computational Intelligence and Intelligent Informatics, Vol.28 No.4.
- Coenen G. & Ehrmann M. & Gaballo G. & Hoffmann P. & Nakov A. & Nardelli S. & Persson E. & Strasser G. (2017). Communication of monetary policy in unconventional times. ECB Working Paper, No 2080.
- Deslongchamps, Alexandre (2018). Readability and the Bank of Canada, https://www.bankofcanada.ca/2018/06/staff-analytical-note-2018-20/ #footnote-2, Erişim Tarihi: 18.02.2025.
- Evdokimova T. & Mohácsi P.N. & Ponomarenko O. & Ribakova E. (2023). Central banks and policy communication: How emerging markets have outperformed the Fed and ECB. Peterson Institute for International Economics Working Paper, WP 23-10.
- Ferrara F.M. & Angino S. (2021). Does clarity make central banks more engaging? Lessons from ECB communications. European Journal of Political Economy, Volume 74, 102146.
- Fullwood J. (2016). A cat, a hat and a simple measure of gobbledygook: How readable is your writing? https://bankunderground.co.uk/2016/10/04/a-cat-a-hat-and-a-simple-measure-of-gobbledygook-how-readable-is-your-writing/, Erişim Tarihi:
- Glas A. & Müller L.S. (2021). Talking in a language that everyone can understand? Transparency of speeches by the ECB Executive Board. http://dx.doi.org/10.2139/ssrn.3790506, Erişim Tarihi: 17.02.2025.
- Görgün, M. F., & Demireli, E. (2025). TCMB Para Politikası Basın Duyurularının Kosinüs Benzerliği, Konu Modellemesi ve Duygu Tonu Temelinde Analizi. Pamukkale Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, sayı 67, https://doi.org/10.30794/gsijses.1611268.
- Haldane A. (2018). Climbing the Public Engagement Ladder. Bank of England Speech, https://www.bankofengland.co.uk/-/media/boe/files/speech/2018/climbing-the-public-engagement-ladder.pdf, Erişim Tarihi: 11.03.2025.
- Haldane A. & McMahon M. (2018). Central Bank Communications and the General Public. AEA Papers and Proceedings, 108: 578–83.
- Huang J. & Simon J. (2021). Central Bank Communication: One Size Does Not Fit All. Reserve Bank of Australia Research Discussion Paper, RDP 2021-05.
- Istrefi K. (2019). Comment on: Enhancing central bank communications using simple and relatable information. Journal of Monetary Economics, 108 (2019) 16–20.
- Loughran T. & McDonald B. (2020). Textual Analysis in Finance. Annual Review of Financial Economics, 12:357–75.
- Keskin H. & Esen E. (2024). Themes and readability of integrated reports of banks from a circular economy perspective. International Journal of Bank Marketing, Vol. 43 No. 2, DOI: 10.1108/IJBM-01-2024-0028.
- Mathur A. & Sengupta R. (2019). Analysing monetary policy statements of the Reserve Bank of India. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3383869, Erişim Tarihi: 17.02.2025.
- Munday T. & Brookes J. (2021). Mark my words: the transmission of central bank communication to the general public via the print media. Bank of England Staff Working Paper, No. 944.
- Nicolay R. & Oliveira A.J. (2018). Inflation volatility, monetary policy signaling and clarity of the central bank communication: Evidence from an inflation targeting emerging economy. Journal of Economic Studies, Vol. 46 No. 2.
- Nicolay R. & Oliveira A.J. (2018). Inflation volatility, monetary policy signaling and clarity of the central bank communication: Evidence from an inflation targeting emerging economy. Journal of Economic Studies, Vol. 46 No. 2.
- Szyszko M. & Rutkowska A. & Kliber A. (2022). Do words affect expectations? The effect of central banks communication on consumer inflation expectations. The Quarterly Review of Economics and Finance, Volume 86.
- Tumala, M.M. & Omotosho B.S. (2019). A text mining analysis of central bank monetary policy communication in Nigeria. CBN Journal of Applied Statistics, Vol. 10 No. 2.
There are 26 citations in total.
Details
| Primary Language | Turkish |
|---|---|
| Subjects | Finance |
| Journal Section | Research Articles |
| Authors | |
| Early Pub Date | July 1, 2025 |
| Publication Date | June 30, 2025 |
| Submission Date | March 28, 2025 |
| Acceptance Date | June 19, 2025 |
| Published in Issue | Year 2025 Volume: 6 Issue: 1 |