Inflation continued to slow in December in Türkiye to 44.3% year-on-year, compared to 47.1% in November, according to official figures released on Friday.
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The rise in consumer prices, fueled by the weakness of the Turkish lira, stood at 1% over one month.
Inflation fell “by 20 points compared to the end of 2022 and 2023,” Turkish Finance Minister Mehmet Simsek said on X, expressing confidence that the decline “will continue” in accordance with the objective of the Central Bank to reach inflation of 21% by the end of 2025.
“Resolving the financial difficulties of our citizens is our top priority. We have established the necessary policy framework in this regard and continue to implement the disinflation program with the greatest determination,” he added.
Last week, the Turkish central bank lowered its key rate for the first time since February 2023, bringing it to 47.5% (-2.5 percentage points), in the face of a slowdown in inflation in the country.
Official Turkish statistics on price increases are disputed by independent economists at the Inflation Research Group (Enag), which publishes its readings every month. For them, the increase in consumer prices reached 83.4% year-on-year in December.
Caught in a devaluation-inflation spiral, Turkey has experienced double-digit inflation continuously since the end of 2019, making the cost of living difficult to bear for many families.
To restore purchasing power to households, the Turkish government announced an increase in the minimum wage on January 1, from 17,000 pounds (467 euros) to 22,104 pounds (607 euros). This revaluation could lead to a rebound in inflation, economists have warned.
