Turkey Annual Inflation Rate Rises to 16.65% in July

Turkey’s annual inflation rate increased to 16.65 percent in July of 2019 from June’s one-year low of 15.72 percent and below market expectations of 16.9 percent, mainly due to a rise in prices of housing and utilities and transport.

Year-on-year, prices rose faster for housing and utilities (16.05 percent from 13.80 percent in June); transportation (13.67 percent from 10 percent); furniture & household equipment (25.41 percent from 22.51 percent); miscellaneous goods and services (26.93 percent from 26.88 percent) and communication (6.29 percent from 5.30 percent). On the other hand, cost slowed for food and non-alcoholic beverages (18.21 percent from 19.20 percent); hotels, cafes and restaurants (19.85 percent from 20.84 percent); clothing and footwear (4.18 percent from 4.33 percent); alcoholic beverages and tobacco (19.23 percent from 19.24 percent); recreation and culture (17.47 percent from 17.48 percent); health (17.93 percent from 19.05 percent) and education (13.68 percent from 13.87 percent). 

Annual core inflation rate, which excludes energy, food and non-alcoholic beverages, alcoholic beverages, tobacco and gold, advanced to 16.20 percent in July from 14.86 percent in the June. 

On a monthly basis, consumer prices went up 1.36 percent, faster than a 0.03 percent gain in June and below market expectations of 1.6 percent. The sharpest increases were recorded for transportation (4.46 percent); furniture and household equipment (4.24 percent); housing and utilities (3.10 percent); recreation and culture (1.60 percent) and hotels, cafes and restaurants (1.42 percent). In contrast, prices declined for food and non-alcoholic beverages (1.11 percent) and clothing and footwear (-3.20 percent).

Turkey Annual Inflation Rate Rises to 16.65% in July

Turkish Statistical Institute | Agna Gabriel | agna.gabriel@tradingeconomics.com
8/5/2019 7:49:23 AM