UPDATE - Türkiye's annual inflation at 47.8% in July

UPDATES WITH STATEMENT FROM TURKISH TREASURY AND FINANCE MINISTER, REVISES DECK

By Gokhan Ergocun

ISTANBUL (AA) - The annual inflation rate in Türkiye was 47.83% in July, up from 38.21% in June, according to data by TurkStat, the country's statistical authority on Thursday.

The annual rate was 79.6% in July 2022, and 57.68% in January this year.

An Anadolu survey had predicted the annual consumer price index to rise to 47.27%.

The lowest annual price change was in housing with 19.31%, while hotels, cafes and restaurants posted the highest change with 82.62%.

The monthly inflation reached 9.49%, up from 3.92% in June.

Mehmet Simsek, the Turkish treasury and finance minister, said that inflation was at 47.8% due to exchange rate developments and wage increases.

He said: "We are in a transition period where disinflation and price stability are targeted.

"With the positive impact of the monetary policy stance, annual inflation will start to fall as of mid-2024."

Simsek said they will support the disinflation process with fiscal discipline. “The main objective of our policies is to permanently reduce inflation to single digits in the medium term,” he added.