2016 Inflation Forecast Raised

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Central Bank President, Erdem Başçı has announced year end inflation forecast as 7.5%.

Başçı declaring the first inflation report of the year has raised the inflation rate he estimated for 2016 by 1 point to 7.5% from 6.5%.

“Inflation rate will be 7.5% in 2016, 6% in 2017, and will gain stability at 5% in 2018.

“Inflation rate will be by approximation between 6.1%-8.9% by end year of 2016, its midpoint will be 7.5%. Inflation rate will be by approximation between 4.2-7.8 by the end year of 2017, its midpoint will be 6%”.

Initial forecast

Başçı had announced fourth and last inflation report of 2015 on October 28, and forecasted inflation rate to be between 5% and 8% as the midpoint will be 6.5 for 2016.

“It won’t be double-digit in January”

Başçı stating inflation will rise in January noted that they will spread on effort to not let inflation reach double-digit in the first quarter, and the inflation rate to escalate to double-digit in January 2016 is highly unlikely.

Inflation rate was 8.81% in 2015. (YY/TK)