Inflation in Türkiye fell to 39.6% in May

Turkey’s annual inflation fell to 39.59 percent in May, official data showed on Monday, largely in line with expectations for the month of elections that re-elected President Tayyip Erdogan.

Consumer prices in May rose 0.04 percent from the previous month, compared to expectations for a 0.2 percent decline in a Reuters poll.

The poll had forecast consumer price inflation to rise 39.2 percent year on year and is expected to reach 45 percent by the end of the year.

Inflation worsened due to the lira crisis, which began at the end of 2021, and reached its highest level in 24 years, when it reached 85.51 percent last October.

The domestic producer price index rose 0.65 percent month-on-month in May, recording an annual increase of 40.76 percent, according to data from the Turkish Statistical Institute.