NEWS ECONOMY NEWS        29/07/2020

Turkish Central Bank raises inflation forecast for 2020 up to 8.9%

The Turkish Central Bank today revised its year-end inflation forecast to 8.9% for 2020, down from 7.4%. The Bank also forecast an inflation rate of 6.2% for 2021.


In his presentation of the Bank’s 2020-III Inflation Report, July 29th, 2020, Central Bank Governor Murat Uysal indicated that “despite the restraining effects of aggregate demand conditions, pandemic-related rise in unit costs have led to an increase in the trends of core inflation indicators”. Despite raising the inflation forecast after three months of price rises through the pandemic, he remained optimistic a downtrend would begin as soon as this month. Uysal

downplayed concerns about the bank’s depleted reserves, and said that the new forecast made no assumption about a second coronavirus wave. He added that the pace of economic recovery from the pandemic will depend on normalisation steps and containment measures are expected to shrink the economy this year. The annual inflation rate as of June 2020 was 12.62%.


Click here for Turkish Central Bank’s “Briefing on 2020-III Inflation Report July 29th, 2020”




Turkey’s net minimum wage has been raised 15.04% to TL 2,324.70 (USD 391) as of 01.01.2020       Migration communication helpline 157 available for foreigners in Turkey       Read our homepage articles on developments in the Turkish economy       Turkey’s annual inflation rate falls back to 11.76% in July 2020       Turkey’s official unemployment rate increases marginally to 12.9% in May 2020       Read our BUSINESS section for latest sectoral and corporate news       Turkey’s population is 83,154,997 as of 2019 yearend       Foreigners visiting Turkey in 2019 increase by 14.1% to a record 45.1 million       Turkey’s private sector foreign debt is USD 189.8 billion as of 2019 yearend       Turkey’s economy grew by 0.9% in 2019