Inflation Rate in July is 15.85 Percent

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The Turkish Statistical Institute (TurkStat) announced the inflation figures for July 2018 today (August 3). The annual inflation has been measured as 15.85 percent in consumer price index and as 25 percent in domestic producer price index.

Reaching the rate of 15.85 percent in July 2018, the annual inflation in consumer price index has marked the highest level since January 2004.

In June 2018, the annual inflation was measured as 15.39 percent in consumer prices and as 23.71 percent in domestic producer prices. The decrease in the value of the Turkish Lira as well as the high energy prices have been cited as the reason for the increase in inflation rates.

Prices have increased by 12 percent

According to the TurkStat, when the 12-month averages are taken into consideration, the consumer prices have increased by 12 percent and the domestic producer prices have increased by 17.41 percent.

The consumer prices on monthly basis have also increased by 0.55 percent and the domestic producer price index has increased by 1.77 percent.

The increase of 0.55 percent measured in the consumer prices on monthly basis has not come up to the expectations, which were around 1 percent.

The annual inflation has been measured as 15.85 percent in consumer prices and as 25 percent in domestic producer prices.

Central Bank revised its inflation forecast

In its inflation report for the third quarter of 2018, the Central Bank previously increased its inflation forecast from 8.4 percent to 13.4 percent. It also raised its inflation forecast for 2019 from 6.5 percent to 9.3 percent.

CLICK - Central Bank Increases Its Inflation Forecast by 5 Percent

The highest increase is in restaurants and hotels

While the highest increase in July 2018 has been recorded in the prices of hotels and restaurants by 2.26 percent, the prices of clothes and shoes have decreased the most by 3.07 percent. (HA/SD)