Breaking News... Central Bank's year-end inflation target missed

Central Bank of the Republic of Türkiye (TCMB) Governor Fatih Karahan presented the second inflation report of the year.

The Central Bank made upward revisions to both its interim targets and year-end inflation expectations in the second inflation report of the year.

The TCMB raised its interim inflation target for the end of 2026 from 16 percent to 24 percent. While the interim target set for 2027 was increased from 9 percent to 15 percent, the 2028 target was also revised from 8 percent to 9 percent.

Central Bank Governor Karahan also announced that the previously implemented forecast range system has been abolished. The TCMB's updated year-end inflation forecasts were announced as 26 percent for 2026, 15 percent for 2027, and 9 percent for 2028.

Karahan stated, "We have raised our 2026 interim target to 24 percent, our 2027 interim target to 15 percent, and our 2028 interim target to 9 percent. We estimate that inflation will reach 26 percent by the end of 2026 and 15 percent by the end of 2027; we project that after declining to 9 percent by the end of 2028, inflation will stabilize at the medium-term target level of 5 percent. I would like to reiterate that we will maintain our tight monetary policy stance until price stability is achieved in a course consistent with our interim targets."

News Source: 12punto