Turkey’s annual inflation rate slowed to 32.95 percent in August, down from 33.52 percent in July, according to official data released Wednesday, coming in slightly above Bloomberg’s forecast of 32.6 percent.
On a monthly basis, consumer prices rose 2.04 percent, driven largely by food, transportation and housing costs. Food and non-alcoholic beverages were up 33.3 percent year-on-year, while education surged 60.9 percent, housing climbed 53.3 percent and transportation increased 24.9 percent.
Despite the easing, inflation remains high for consumers. However, the overall annual rate is now at its lowest level since late 2021. Inflation had peaked at more than 75 percent in May 2024 before beginning to decline.
The slowdown prompted the central bank to gradually cut its main policy rate from 50 percent to 43 percent between December and July. Markets expect another rate cut next week.
Independent economists at the Inflation Research Group (ENAG) dispute the official figures, estimating annual inflation at 65.5 percent in August.
© Agence France-Presse