Searcher

Published on Friday, April 3, 2020 | Updated on Monday, April 6, 2020

Turkey | Annual CPI comes down to 11.9% in March

Consumer prices increased by 0.57% in March, higher than both the consensus 0.5% and BBVA Research 0.23%. Annual inflation declined to 11.86% from 12.37% in February, led by favorable base effects. Looking ahead, we expect the headline inflation to experience one digit levels as early as May and end the year at near 7.5%.

Key points

  • Key points:
  • The deviation of our forecast mainly stemmed from the food prices, which surprised us on the upside with seasonally higher unprocessed food inflation.
  • Core inflation carries a stronger than expected exchange rate pass-thru and reflects some resistance to lower demand, which could be mostly felt starting from April.
  • The suppressed energy prices weigh on the downside for inflation as expected.
  • Depending on the current depreciation pressures over the currency, base effects will remain favorable till August.

Documents to download

Geographies

Topics

Has this information been useful?

New comment

Be the first one to add a comment.

Load more

You may also be interested in