The declines in food and oil prices will support disinflation this year, Turkey’s finance minister Mehmet Simsek said on February 18, adding that TRY’s weakness is the only risk for inflation.
The fight against inflation must continue until inflation falls to 5% or below permanently, said Simsek, adding that discussions over the Central Bank’s policies may cause concerns among investors. Taking the price stability into account, the Central Bank must make decisions on a rational basis, Simsek noted.
The Central Bank has been targeted by President Recep Tayyip Erdogan and economy minister Nihat Zeybekci for not cutting interest rates to boost economic growth. Recently, Deputy PM Ali Babacan, the economy czar, voiced support for Central Bank bureaucrats. There is a highly competent team at the Bank who are making the right decisions at the right time, Babacan said.
|January CPI by Main Expenditure Groups (%)|
|Food and non-alcoholic beverages||24.25||3.52||10.97|
|Alcoholic beverages and tobacco||4.82||4.19||4.40|
|Clothing and footwear||7.38||-6.98||9.14|
|Furnishings, household equipment||7.78||2.01||8.54|
|Recreation and culture||3.54||1.64||6.08|
|Hotels, cafes and restaurants||6.98||0.90||13.06|
|Miscellaneous goods and services||4.60||2.52||9.77|
TFI TAB Food Investments (TFI TAB Gida), the exclusive franchisee for Burger King in Turkey and China, has filed with the SEC to raise up to $400mn in an initial public offering (IPO) in New York. ... ... more
Turkey’s central bank is expected to introduce a new instrument in upcoming days to help manage the corporate sector’s exchange rate risk, its deputy governor Erkan Kilimci told state-run news ... more
Tekfen Construction, one of the largest construction companies in Turkey, has won tenders for projects worth some $5bn from the Azerbaijani government and state-owned companies over the years, Trend ... more