Türkiye's Central Bank projects year-end inflation between 31% and 33%

The Turkish Central Bank has unveiled its updated inflation projections, forecasting that consumer prices will close the year within a band of 31% to 33%. Governor Fatih Karan presented the figures during a press conference in Istanbul, reinforcing the institution's commitment to its disinflation strategy.

A Cautious and Determined Path Forward

Governor Karan outlined the bank's deliberate approach, stating, "We will continue to take steps on the policy rate and their magnitude with a cautious and meeting-based approach focused on the inflation outlook." He underscored that the central bank's primary objective is price stability, which he described as an essential prerequisite for fostering sustainable economic growth and improving social welfare in Türkiye.

Long-term Targets and Recent Context

The bank's monetary policy committee also released its medium-term vision, anticipating that inflation will fall to a range of 13% to 19% by the end of 2026. This new forecast comes after the country's annual inflation rate in October dropped to 32.87%, its lowest level in nearly four years, marking a significant milestone in the ongoing economic stabilization program.

Commitment to the Disinflation Goal

Reiterating the bank's resolve, Karan affirmed, "In the disinflation process, we will continue to do whatever is necessary to bring down inflation in line with our intermediate targets." This firm stance signals a continuation of the tight monetary policy as the institution works to steer the national economy toward a more stable price environment in the coming years.