UPDATE - Türkiye's annual consumer inflation slows to 9-month low in July

UPDATES WITH REMARKS FROM FINANCE MINISTER, VICE PRESIDENT

By Tuba Ongun

Türkiye's annual consumer inflation significantly cooled to a nine-month low of 61.78% this July, below economists' forecasts, according to official data released on Monday.

Headline inflation decreased for the second consecutive month in July from 71.60% in June, the Turkish Statistical Institute (TurkStat) data showed.

The highest annual hikes were seen in education at 104.50% while clothing and footwear registered the lowest rises with 39.75%

Inflation, excluding energy, food and non-alcoholic beverages, alcoholic beverages and tobacco, came in at 60.23% in July.

An Anadolu survey on Friday forecast the July inflation at 62.23% on an annual and 3.51% on a monthly basis.

On a monthly basis, Türkiye's Consumer Prices Index rose 3.23% from July, from 1.64% in June.

Commenting on the figure on X, Treasury and Finance Minister Mehmet Simsek said the monthly inflation accelerated due to "temporary effects".

Türkiye's economic program, whose main target is disinflation, reaps its fruits, Simsek noted.

"The decline in inflation will be more significant in the coming period," Simsek said, adding: "By ensuring price stability, we will permanently increase the welfare of our citizens."

Separately, Turkish Vice President Cevdet Yilmaz said the headline inflation is expected to fall below 50% in September, after hovering 50% in August.

"Our goal is to achieve the single-digit inflation rates in 2026," Yilmaz said on X.