Inflation Assessment from Treasury and Finance Minister Şimşek

Treasury and Finance Minister Mehmet Şimşek evaluated the September inflation data announced by the Turkish Statistical Institute and announced that annual inflation has dropped below 30 percent for the first time since November 2021.

Development of Inflation Falling Below 30 Percent

Treasury and Finance Minister Mehmet Şimşek evaluated the September inflation data announced by the Turkish Statistical Institute. It was pointed out that annual inflation has declined below 30 percent for the first time since November 2021.

Declines in Food and Education Inflation

It was stated that disinflation has spread across the board, excluding transportation. In September, annual food inflation stood at 27.6 percent, while education inflation dropped to 48.6 percent annually with the contribution of rule-based regulations.

Rent Inflation and Leading Indicators

It was announced that annual rent inflation decreased significantly compared to the same month of the previous year, falling to 41.3 percent. Leading indicators point out that this downward trend in rent inflation will continue in the upcoming period.

Oil Prices and Fuel Price Stabilization (Eşel Mobil) Step

In order to limit the negative impact on inflation from recently rising oil prices, a gradual exit from the sliding scale (eşel mobil) mechanism is being implemented for gasoline following diesel.

Central Bank Calculations and Policies

According to the Central Bank's calculations, had there been no war, inflation would have turned out 7 points lower this year. It was stated that policies aimed at increasing housing and food supply are being pursued with determination.

2027 Expectations and Services Inflation

It is projected that the reduction of inertia in services inflation—primarily rent and education—along with the weakening of commodity price increase effects, will positively contribute to the downward process of inflation in 2027.