İstanbul sees highest monthly surge in retail prices since April 2022

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The annual inflation rate in İstanbul reached 63.76 percent in July, according to İstanbul Chamber of Commerce's (İTO) monthly report.

According to the Cost of Living Index for Wage Earners, retail prices in İstanbul experienced a sharp rise of 9.84% in July alone. This significant increase comes after a 3.46% surge in June, making it the fastest monthly rise since April 2022, when the monthly inflation rate reached 11.36%.

Furthermore, the year-on-year inflation surge is equally concerning, with prices soaring by 63.76%. In comparison, June saw a lower inflation rate of 55.19%. Additionally, the pattern of declining year-on-year inflation, attributed to the "base effect," has come to a halt.

The rising inflation has affected various expenditure categories in the metropolis. In July, health and personal care expenses increased by 17.35%, while household goods rose by 16.02%. Culture, education, and entertainment expenses also saw a notable increase of 14.66%.

Meanwhile, transportation and communication expenses rose by 12.79%, and housing expenses increased by 10.07%. The food expenses experienced an 8.61% rise, and clothing expenses saw a more modest increase of 2.33%.

The Wholesale Price Index, which tracks producer prices, also recorded a significant surge, with a monthly increase of 4.54% and a substantial year-on-year rise of 66.57%. The minerals group within wholesale goods experienced an 11.26% increase, and the fuel and energy group saw a rise of 9.70%.

The Turkish Statistical Institute (TurkStat) is set to release the official inflation data for July on Thursday. (HA/VK)