Türkiye’s Inflation Expected to Remain in 20 Percent Range

(MENAFN) Türkiye's annual inflation is expected to remain in the 20% range as of February, when the January statistics are released, according to the country's treasury and finance minister on Thursday.

"Even with some delay, inflation targets will at least be met at the upper end of the band. Disinflation will continue in 2026,” stated Mehmet Simsek during the fifth Future of Finance Summit held in Istanbul.

He elaborated on recent trends, saying, "If you look at inflation, we went from around 64%-65% over the last three years to 44%. Then this year, it's currently at 31%. Next year's target range is between 13%-19%, but the market expects it to be in the 20s. Let me reiterate for next year: barring any additional shocks, we see the upper end of the target range as quite achievable."

Simsek highlighted that Türkiye's macroeconomic stability and reform initiatives are designed to reduce inflation to single digits, enhance predictability, maintain a sustainable current account balance, and ensure that these improvements are lasting.

Regarding the structural transformation programs implemented, he explained that the initial phase of the three-step initiative focused on risk management. The second phase addressed economic imbalances.

“The third phase was to achieve the targets permanently through structural transformation. When you look at the first phase, the rule-based market economy was largely established,” he added.

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