CBRT emphasizes ‘education, rent and energy’ on inflation

The Central Bank (CBRT) published the ‘September Price Development Report’ on the inflation data announced yesterday by TURKSTAT.

While consumer prices rose 4.75 percent month-on-month in September, annual inflation rose 2.59 points to 61.53 percent.

In the September CBRT evaluation; It was stated that education-related items such as university fees, school bus and accommodation fees were highlighted with high price increases and the current upward trend in rents was strengthened.

The report also states that “the evolution of prices of energy raw materials, especially crude oil, influenced the increase in prices of the energy group.”

INFLATION REPORT HIGHLIGHTS

The highlights of the CBRT evaluation are as follows:

* Lagged effects resulting from the depreciation of the Turkish lira, wage increases and tax regulations have weakened, and monthly price increases have slowed in groups other than services and alcohol and tobacco.

* As a result of periodic price determination and indexation to past inflation behaviors prevailing in the services group, sharp price increases continued across the board.

* In September, education-related items such as university fees, school buses and dormitory fees stood out with high price increases, while the current upward trend in rents grew stronger.

* The evolution of the prices of energy raw materials, especially crude oil, influenced the increase in prices of the energy group.

* Although general price increases continue in the food group, the monthly price increase has slowed compared to the last two months, led by the prices of bread, cereals and vegetables.

* Although monthly inflation showed a more moderate outlook in the underlying goods group, it was observed that automobile prices remained close to horizontal in the durable goods subgroup, but high price increases in household appliances and furniture continued. .

* The monthly upward trend in producer prices continued, although at a slower pace, and annual producer inflation decreased mainly due to the base effect caused by energy prices.