Inflation message from Mehmet Şimşek: We will increase the purchasing power of our citizens

Minister of Treasury and Finance Mehmet Şimşek made a statement regarding inflation expectations.

Sharing on the social media platform X, Şimşek said, "Inflation expectations for 12 and 24 months ahead were 27.5 percent and 18.4 percent, respectively."

Şimşek continued his post as follows:

"The improvement in inflation expectations supports our program targets. With the clarification in disinflation, the year-end inflation expectation has declined to 43.1 percent. 

Inflation expectations for 12 and 24 months ahead, which have been decreasing for eleven months, were 27.5 percent and 18.4 percent, respectively. Annual inflation, which has fallen by 23.5 points in the last 3 months, is expected to drop below 50 percent in September.

'WE AIM TO REDUCE THE BUDGET DEFICIT TO 3.1 PERCENT'

We aim to reduce the ratio of the budget deficit to national income, which we projected at 4.9 percent in 2024, to 3.1 percent next year. Thus, fiscal discipline will provide strong support to disinflation.

We will continue our policies in coordination to ensure price stability. By eliminating structural rigidities in inflation, we will permanently increase the purchasing power of our citizens."

SEPTEMBER SURVEY PUBLISHED

The Central Bank of the Republic of Turkey (TCMB) published the market participants survey for September.

According to the survey, the year-end inflation expectation declined to 43.14 percent. In the previous survey period, the inflation expectation had been estimated at 43.31 percent.

According to the market participants survey, the inflation expectation for 12 months ahead in September declined to 27.49 percent. In the previous survey, this expectation was determined as 28.71 percent.