TurkStat President announced: Why was June inflation low?

Turkish Statistical Institute (TurkStat) President Erhan Çetinkaya said that price hike postponements affected June inflation.

Turkish Statistical Institute (TurkStat) President Erhan Çetinkaya listed the reasons for the lower-than-expected June inflation rate as the postponement of public sector raises to July, the stability in the exchange rate and the contribution of the summer months to the decline historically.

In a meeting with a group of journalists, Çetinkaya said, “Why is such a figure announced just when the salary increase rates will be determined?” Upon being reminded of the criticisms, Çetinkaya said, “We are not the addressee of the problem,” and pointed to the Ministry of Treasury and Finance regarding the timing of the increases. Çetinkaya said, “There is an incredible difference between raising electricity on July 1 or June 1. It affects by half a point or more. This preference was used in this direction.”

According to Bloomberg, Çetinkaya mentioned that another factor was the low inflation in the summer months and said, “When you look at 30-40 years of monthly inflation data, June is always, always the lowest month. In other words, it has been negative most of the years. For the past 2 years, there was an accumulation due to the election atmosphere or due to the excessive exchange rate movements.”

Leave a Reply

Your email address will not be published. Required fields are marked *