The Turkish Statistical Institute (TÜİK) has released the inflation figures for December, revealing a monthly inflation rate of 2.93%. The annual Consumer Price Index (CPI) surged to 64.77%, marking the highest level in the last 13 months.
The latest inflation data underscores the challenges faced by the Turkish economy, with price increases impacting various sectors. According to TÜİK, housing expenditures experienced the least growth, recording a 40.39% increase over the past year, while the category of restaurant and hotel services saw the highest surge at 93.24%.
Examining specific expenditure groups, a decrease of 1.33% was observed in the clothing and footwear category. Conversely, entertainment and culture expenditures witnessed the highest increase, rising by 5.30%.
TÜİK’s analysis of the 143 basic headings within the index for December revealed that 20 of them experienced a decline, 11 remained unchanged, and an increase was observed in 112 headings.
An interesting trend emerged when considering the changes in the Consumer Price Index (CPI) excluding unprocessed food products, energy, alcoholic beverages, tobacco, and gold. In December 2023, a 2.39% increase was noted compared to the previous month, reflecting a substantial 68.02% rise compared to the same period the previous year. The twelve-month average change was calculated at 58.58%.
The inflation figures point to ongoing challenges in the Turkish economy, reflecting price pressures in crucial sectors. The surge in inflation emphasizes the need for comprehensive measures to address economic stability and ensure the well-being of consumers and businesses. Policymakers may need to consider strategic interventions to mitigate the impact of inflation on various facets of the economy. The data will likely prompt discussions among economists and policymakers as they assess the appropriate measures to navigate through the current economic landscape.
source: tr.investing.com / prepared by Melisa Beğiç