ANKARA: Türkiye’s annual consumer inflation rate declined more than market forecasts in July 2025, dropping to 33.52 percent, according to data released by the Turkish Statistical Institute on Monday. The figure represents a notable decrease from June’s annual inflation rate of 35.05 percent.
Month-on-month, consumer prices rose by 2.06 percent in July, easing from June’s increase of 1.37 percent. Analysts had expected slightly higher figures, suggesting that recent monetary and fiscal tightening measures may be taking effect.
The institute also reported a moderate rise in the domestic producer price index (PPI), which grew 1.73 percent from June to July. On an annual basis, PPI climbed by 24.19 percent, indicating some upstream price pressure remains in the supply chain despite the broader softening of consumer inflation.
Economists suggest the downward trend offers some relief for the central bank, which has been aggressively working to bring inflation under control while supporting economic stability. However, they caution that sustained efforts will be needed to meet mid-term inflation targets.
With inflation easing slightly, attention now shifts to upcoming central bank policy decisions, particularly any revisions to interest rates as authorities balance growth and price control.
