Turkey’s inflation spirals out of control
Soaring prices lie at the core of Erdogan’s sagging popular support and he seems to have few tools to curb the unruly uptick.
Turkey’s annual consumer inflation threatens to soar to more than 20% as official data showed a two-year high of 17.5% in June amid growing popular frustration with President Recep Tayyip Erdogan’s government.
While Ankara’s consumer inflation target stands at 5% this year, the rate is likely to rise to 19% in July under the impact of a combination of factors, including recent price hikes on electricity and natural gas, which alone could add one percentage point to the rate. The heightened energy cost of producers will inevitably push prices up.
