Inflation and Macroeconomic Assessment from Central Bank Governor Karahan
CBRT Governor Fatih Karahan shared the impacts of global shocks and domestic dynamics on the inflation process at the Turkey Investment Conference.
Central Bank of the Republic of Turkey Governor Fatih Karahan stated in his presentation at the 19th Turkey Investment Conference that the inflation outlook will be determined by global shocks and domestic dynamics.
Global Shocks and Energy Prices
It was noted that geopolitical developments have driven up oil prices in global markets, with the barrel price of Brent crude rising above pre-war levels.
It was recorded that increasing energy prices make an upward contribution to inflation, and this situation is being closely monitored under the heading of global shocks.
Domestic Demand and Growth
Attention was drawn to the fact that GDP growth has entered a slowing trend within the framework of the implemented tight monetary policy.
It was emphasized that the weakening in domestic demand and the strengthening trend in exports positively support the current account balance.
Disinflation Process and Expectations
It was stated that the decline in rental inflation and weak demand are among the key elements supporting the disinflation process.
As of September, the future inflation expectations of market participants, the real sector, and households were shared with the public.