Turkiye’s annual inflation rate continued its downward trend in January, falling to 42.1%, according to data from the Turkish Statistical Institute (TurkStat).
This marks the eighth consecutive month of easing inflation, as consumer prices rose by 42.12% year-over-year, down from nearly 44.4% in December.
Key contributors to the CPI increase were education, housing, and healthcare, while transportation saw the lowest annual gain.
On a monthly basis, consumer prices rose by 5.03% in January, slightly exceeding economists’ expectations.
Despite a slight uptick compared to forecasts, which predicted an annual inflation of 41.25%, the easing trend continues following a series of tightening fiscal and monetary policies.
The Central Bank of the Republic of Turkiye (CBRT) also reduced borrowing costs for the second month in a row, lowering its policy rate to 45%, signaling a slowdown in inflationary pressure.
Turkiye’s inflation rate peaked above 75% last May but has steadily decreased due to stricter economic measures.
The government remains optimistic about continuing the downward trend into 2025.
