Transportation and food are especially expensive in Turkey. The opposition accuses the government of improving the high -cost situation.
In Turkey, inflation continues to rise rapidly – in June this number rose to 78.62 percent, the national statistics office said on Monday, July 4th.
In May alone, inflation in Turkey was 74 percent. The cost of transportation and food has risen especially sharply. Purchase prices rose nearly 138 percent year-over-year (up 6.8 percent compared to May).
The opposition has accused the government in Ankara of bleaching the statistics. According to him, inflation is higher in Turkey. The Istanbul-based Enag Inflation Research Center reported that year-on-year living costs in Turkey rose 175.55 percent in June.
Causes of rising inflation
Inflation in Turkey is rising for a variety of reasons. The weak local currency, the lira, has long helped raise prices as imports have risen in price as a result. Energy prices are also rising, including against the backdrop of Russia’s armed aggression on Ukraine. Experts also believe that the Central Bank of Turkey is not strong enough to fight high inflation. In fact, the regulator has even relaxed monetary policy since last summer.
Economists believe that raising interest rates could curb inflation. At the same time, Turkish President Recep Tayyip Erdogan said that high interest rates were the cause of inflation. The Central Bank follows Erdogan’s line and therefore refuses to raise interest rates. Since January, the base rate in Turkey has been 14 percent.
Source: DW
It was previously reported that inflation in the eurozone rose to a record high: from 8.1% in May to 8.6% in June. The reason is the sharp rise in food and energy prices in many countries.
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Source: korrespondent
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.