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First assessment from Mehmet Şimşek following inflation data: 'The decline continues'

TÜİK announced the December inflation rate as 44.38 percent. Minister of Treasury and Finance Mehmet Şimşek stated that inflation continues to fall.

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TÜİK has announced the inflation data for December.

According to TÜİK, inflation in December was 1.03 percent, while the annual rate was 44.38 percent.

CIVIL SERVANT AND PENSIONER RAISES DETERMINED

Accordingly, the 6-month inflation difference has also been determined. Civil servants and pensioners will receive an 11.55 percent raise in the first 6 months of 2025. Workers' pensioners will receive a 15.75 percent raise.

According to the statement made by the Turkish Statistical Institute (TÜİK), the change in the CPI (2003=100) in December 2024 was 1.03 percent compared to the previous month, 44.38 percent compared to December of the previous year, 44.38 percent compared to the same month of the previous year, and 58.51 percent based on twelve-month averages.

EDUCATION PRICES DOUBLED

The main group that showed the lowest increase compared to the same month of the previous year was transportation with 25.88 percent. In contrast, the main group with the highest increase compared to the same month of the previous year was education with 91.64 percent.

HIGHEST INCREASE IN HOUSEHOLD GOODS

In terms of main expenditure groups, the main group that decreased the most in December 2024 compared to the previous month was clothing and footwear with -0.67 percent. In contrast, the main group with the highest increase in December 2024 compared to the previous month was household goods with 2.78 percent.

As of December 2024, out of the 143 basic headings covered in the index (Classification of Individual Consumption by Purpose-COICOP 5-digit Level), the index of 19 basic headings decreased, while there was no change in the index of 12 basic headings. An increase occurred in the index of 112 basic headings.

SPECIAL SCOPE CPI IS 43.94 PERCENT ANNUALLY

The change in the CPI excluding unprocessed food products, energy, alcoholic beverages, tobacco, and gold was 1.17 percent in December 2024 compared to the previous month, 43.94 percent compared to December of the previous year, 43.94 percent compared to the same month of the previous year, and 58.37 percent based on twelve-month averages.

ENAG HAD ANNOUNCED IT AS 2.34 PERCENT

The Inflation Research Group (ENAG) announced that inflation increased by 2.34 percent in December and the annual inflation rate was 83.40 percent.

FIRST ASSESSMENT FROM MEHMET ŞİMŞEK

Following the announcement of the inflation rates, Minister of Treasury and Finance Mehmet Şimşek made statements on his social media account, evaluating the steps taken to combat inflation and resolve the economic difficulties of citizens.

Şimşek said, "Solving our citizens' cost-of-living crisis is our top priority. In this direction, we have established the necessary policy framework and continue to implement the disinflation program with determination."

'THERE IS A DECLINE IN INFLATION'

Claiming that the inflation data in December reached its lowest level in the last 19 months, Şimşek stated that monthly inflation was 1 percent and annual inflation was 44.4 percent. This rate was 2.4 points above the Central Bank's forecast range announced in November 2023.

Şimşek stated, "As of 2024, inflation has dropped by 20 points compared to the end of 2022 and 2023, marking significant progress. We believe this decline will continue."