A man passes by a currency exchange office in Ankara, Türkiye, May 14, 2026. Türkiye on Thursday revised its inflation outlook significantly upward, underscoring challenges to the country's disinflation push. (Mustafa Kaya/Handout via Xinhua)
ANKARA, May 14 (Xinhua) -- Türkiye on Thursday revised its inflation outlook significantly upward, underscoring challenges to the country's disinflation push.
At a press conference in Istanbul, Central Bank Governor Fatih Karahan announced a larger-than-expected revision, saying the central bank now forecasts interim inflation of 24 percent for 2026, up from 16 percent previously, citing pressures stemming from the U.S.-Israel-Iran conflict.
The central bank also projects year-end inflation at 15 percent for 2027, up from 9 percent. "Inflation is still problem number one," Karahan noted.
Annual inflation in Türkiye had surged to around 85.5 percent in October 2022 during a period of currency weakness and unconventional monetary policies.
Since the shift toward tighter and more orthodox economic policies in mid-2023, authorities have pursued an aggressive disinflation strategy.
That policy has helped bring down inflation, although price growth remains high and susceptible to external shocks. ■
A man walks past Türkiye's central bank in Ankara, Türkiye, on May 14, 2026. Türkiye on Thursday revised its inflation outlook significantly upward, underscoring challenges to the country's disinflation push. (Mustafa Kaya/Handout via Xinhua)