Turkey’s inflation rate jumped to almost 50 per cent in July, halting an eight-month streak of slowing price growth as the weak lira, an overheating economy and higher taxes put consumers under strain.
Consumer prices rose 47.8 per cent in July compared with the same month in 2022, a pick-up from the annual pace of 38.2 per cent recorded in June, the Turkish Statistical Institute said on Thursday. Economists polled by FactSet had forecast a slightly lower reading of 45.8 per cent.
The stronger than expected increase in the inflation rate underscores how Turkey is still in the throes of a deep cost of living crisis, even as the new economic team that President Recep Tayyip Erdoğan appointed in June continues to unwind unconventional policies that were in place for years.
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