The cost of living in Turkey’s most populous city of İstanbul for a family of four increased by 71.4 percent in July when compared to the same month of 2023, according to the results of a recent survey.
The survey, conducted by the İstanbul Planning Agency (IPA) of the İstanbul Metropolitan Municipality, calculated the cost of living in İstanbul for a family of four to be TL 66,550 ($1,980) in July, nearly quadrupling the minimum wage of TL 17,002 ($506).
The cost of living in İstanbul stood at TL 38,828 in July 2023.
The monthly increase in the cost of living in the city was 4.76 percent in June, when it stood at TL 63,524, according to the IPA.
Among the basic consumer goods, the price of olive oil saw the highest increase by 112.87 percent in July when compared to the same month of 2023. It was followed by toilet paper with a price increase of 106.23 percent.
The cost of living in İstanbul is almost equal to the poverty line of TL 65,874 lira, calculated by the United Metal Workers Union (BİSAM), an affiliate of the Revolutionary Workers Confederation (DİSK), last month.
The poverty line refers to the total amount a family of four needs to live without feeling deprived of food and the money required to pay other expenses such as rent and utilities.
Turkey is suffering the worst bout of inflation of President Recep Tayyip Erdoğan’s two-decade rule. The official annual inflation rate peaked at 85 percent in October 2022.
After winning re-election in May 2023, Erdoğan appointed a new team of market-friendly economists that was given the freedom to sharply hike its policy rate.
According to data announced by the Turkish Statistical Institute (TurkStat) on Monday, Turkey’s annual rate of inflation slowed sharply in July to 61.78 percent from above 71 percent in June.
However, ENAG, an independent group of economists, said annual inflation was much higher than was announced by TurkStat, standing at 100.88 percent in July.
Meanwhile, Finance Minister Mehmet Şimşek said in televised remarks on Tuesday that the inflation rate would drop to around 40 percent by the end of the year, calling on Turks to be patient.
“Inflation will fall because monetary, fiscal and revenues policies have been designed accordingly [to achieve this]. We need time and patience,” Şimşek said.