Turkey's central bank last week kept its main interest rates steady, in line with market expectations, as it looks to balance double-digit inflation with President Tayyip Erdogan's calls for cheaper credit.

"Economic activity is expected to strengthen further amid supportive incentives and measures," the bank said in the minutes from last week's meeting, which were posted on its website on Thursday.

"All in all, inflation remains high. Despite recent cost developments and the expected partial improvement in food prices, risks to the pricing behaviour still prevail."