Türkiye's annual inflation slows to 35% in June, beating expectations
Türkiye's annual inflation was at 35.05% in June, down from 35.41% in May, below market estimates, official figures from the Turkish Statistical Institute (TurkStat) showed Thursday, Anadolu reports.
The markets had expected annual inflation for last month to come in at 35.2%.
The figure marked the lowest increase in consumer prices in Türkiye since December 2021, when it was 36.08%.
The highest price rises in June on a yearly basis were seen in education with 73.33%, housing 65.54%, and health care 38.7%, according to TurkStat data.
On the other hand, the lowest price hikes were in clothing and footwear with 14.47%, communications with 18.43%, and recreation and culture with 27.53%.
TurkStat said there were three main expenditure groups with the highest weight: food and non-alcoholic beverages with annual inflation of 30.2%, along with transportation with 27.72% and housing with 65.54%.
"The contributions of these main groups to the annual change were 7.60% for food and non-alcoholic beverages, 4.51% for transportation, and 9.22% for housing," it added.
Türkiye's monthly inflation rate in June was 1.37%, down from 1.53% in May.
The monthly figure was also below market forecasts of 1.45%.
Commenting on the data, Türkiye's Finance Minister Mehmet Simsek said inflation eased in June despite rising oil prices due to geopolitical tensions.
"In services, where inertia is high, annual inflation dropped to 50% after three years," Simsek said on X.
"Our determination in the disinflation process has become evident in both actual data and expectations," he noted.
Simsek stated that declining commodity prices, reduced volatility in financial markets, improving inflation expectations, and supportive demand conditions in recent times will contribute to the continued decline in inflation in the second half of the year.
"Our citizens can rest assured; a noticeable slowdown in inflation has begun across various sectors, from food and durable consumer goods to education and transportation, and this trend will continue," he added.
As reported previously, archaeologists have uncovered rare artifacts from the Paleolithic era at Ulukoy Cave in Türkiye’s southeastern Mardin province, revealing the earliest known evidence of human activity in northern Mesopotamia.