Türkiye's Inflation Drops to Lowest Level

(MENAFN) Türkiye's yearly inflation rate fell to 35.41 percent in May, a decrease from April's 37.86 percent, according to official statistics released by the Turkish Statistical Institute (TurkStat) on Tuesday.

This marks the lowest inflation rate recorded in Türkiye since December 2021, when it stood at 36.08 percent.

Analysts had anticipated an annual inflation figure of 36.10 percent, with monthly inflation expected to reach 2 percent for the previous month.

Instead, the Consumer Price Index (CPI) rose by 35.41 percent year-over-year and increased by 1.53 percent compared to the previous month.

The greatest annual price hikes were observed in the education sector at 71.67 percent, followed by housing at 67.43 percent, and health services at 40.12 percent, according to TurkStat.

Conversely, the smallest inflation rates were recorded in clothing and footwear at 14.12 percent, communications at 19.25 percent, and transportation at 24.59 percent.

TurkStat highlighted three primary spending categories with the largest weight in the inflation calculation: food and non-alcoholic beverages with an inflation rate of 32.87 percent, transportation at 24.59 percent, and housing at 67.43 percent.

The institute further noted that these groups contributed 8.25 percent, 4.07 percent, and 9.34 percent respectively to the overall annual inflation change.

On a monthly basis, inflation slowed to 1.53 percent in May, down significantly from April's 3 percent.

Reflecting on the figures, Türkiye's Finance Minister Mehmet Simsek pointed out that the inflation rate for goods was 28.7 percent, representing the lowest level seen in over three and a half years.

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