Ankara: Trkiye's annual inflation rate fell to 31.07% in November, marking its lowest level in 48 months.
According to Anadolu Agency, official data from the Turkish Statistical Institute (TurkStat) revealed that the inflation rate has been on a downward trajectory for the past 18 months, with only one month as an exception. The November rate decreased from the 32.87% recorded in October and fell short of market expectations, which had predicted a rate of 31.6%.
This figure represents the smallest increase in consumer prices in Trkiye since November 2021, when the rate was documented at 21.31%. The data indicated significant annual price increases in sectors such as education, housing, and hospitality, with education seeing a 66.17% rise, housing at 49.92%, and hotels, cafes, and restaurants at 33.91%.
Conversely, the lowest price increases were observed in clothing and footwear at 8.99%, communications at 17.78%, and recreation and culture at 25.87%. TurkStat identified three primary expenditure groups with the greatest weight: food and non-alcoholic beverages, transportation, and housing, with annual inflation rates of 27.44%, 29.23%, and 49.92%, respectively.
The contributions of these sectors to the overall annual change were detailed as 6.83% for food and non-alcoholic beverages, 4.55% for transportation, and 7.57% for housing. On a monthly basis, consumer inflation decreased from 2.55% in October to 0.87% in November, which was lower than the market's predicted 1.25%.
A year ago, the annual inflation stood at 47.09%, escalating to 61.98% in November 2023. Trkiye's Finance Minister Mehmet Simsek commented on the recent data, noting that November's monthly inflation rate was the lowest in the past two and a half years.
Simsek highlighted that food inflation, previously above the long-term average from August to October, normalized in November. He expressed expectations that this moderate monthly inflation trend will persist into December.
Simsek also pointed out that several factors, including favorable global financial conditions, moderate commodity prices, a strict monetary policy, enhanced financial stability, and supportive fiscal measures, are expected to aid the disinflation process by 2026.