When will the inflation rate be announced, what is the inflation expectation for November?
The continued depreciation of the Turkish lira is expected to bring about an increase in inflation. The rate of inflation, which reduces purchasing power day by day, is eagerly awaited by citizens.
WHEN WILL THE INFLATION RATE BE ANNOUNCED?
The inflation rate for November will be released on Monday, December 5 at 10:00 am.
HOW MUCH IS THE INFLATION RATE EXPECTED?
In the Reuters poll of 11 respondents, annual inflation forecasts for November range from 82.7 to 85.3 percent.
The CPI was carried out at 85.51% in October. In the survey, monthly inflation is expected to be 3 percent; Estimates range from 1.9 to 3.4 percent.
According to economists, food, tobacco products, furniture, electrical appliances, clothing and footwear will be the items where high monthly increases will be seen in November. In the Reuters poll, the forecast for the end of 2022 was 69%.
In the last inflation report of the year, the CBRT said inflation would decline rapidly from its current level after November and raised its year-end forecast to 65.2 percent.
The government aims to combat inflation by turning the chronic current account deficit into a surplus by implementing an economic program that supports production and exports at low interest rates. There is a significant base effect on inflation as the strong dollar/TL rises in November and December 2021 did not occur this year. The base effect will be more pronounced in December and January, when double-digit inflation is observed compared to the previous month. Therefore, even if price increases continue, annual inflation will decrease significantly in the next 2 months. Signaling that economic activity continues to lose momentum despite rising inflation, the Central Bank (CBRT) cut the policy rate by another 150 basis points to 9% in response to President Tayyip Erdoğan’s single-digit rate call. Confederation of Turkish Trade Unions (Türk-İş), food inflation calculated in Ankara increased by 4.87% in November compared to the previous month; announced that the hunger limit was 7,785 TL and 2,285 TL above the current minimum wage.