Turkish inflation edges up to nearly %62 in November
Turkiye's annual inflation rate currently sits at %61.98 in Nov. in line with expectations and latest rate increase forecasts of monetary authority
In line with projections, Turkiye's inflation rate saw a slight uptick in November, reaching nearly %62, according to official data released on Monday by the Turkish Statistical Institute (TurkStat).
The Consumer Price Index (CPI) climbed to %61.98 over the 12 months leading up to November, marking a modest increase from October's %61.36, as reported by TurkStat. On a month-to-month basis, the inflation rate surged by %3.28.
Anticipating this trajectory, the central bank had previously forecasted that inflation would continue to rise, potentially reaching its peak at around %70-75 by May 2024, before gradually receding to %36 by the end of 2024.
Economists surveyed by Anadolu Agency (AA) had predicted a 3.68% increase in the CPI for November. Meanwhile, in a Reuters poll, institutions' expectations varied from a %3 to %4.62 monthly rise in prices, with an overall consensus foreseeing a %3.9 increase.
Earlier this year, inflation had dipped to as low as %38.2, influenced in part by base effects and a relatively stabilized lira. However, recent moves by the central bank, such as the decision to raise the benchmark rate to %40 last month, aimed to address the rising inflationary pressures.
The central bank has signaled its commitment to a short-term tightening cycle. Despite indicators suggesting a moderation in domestic demand, persistent levels of domestic consumption, the resilience of services inflation, and geopolitical uncertainties are factors keeping inflationary pressures alive, according to the central bank's statement.
Source: Newsroom
