Turkish inflation expectations drop to 6.77% y/y in February

By bne IntelliNews February 20, 2015

The Central Bank’s monthly survey found that end-year inflation expectations fell to 6.77% in February from 6.82% in January, still above the government’s forecast of 6.3%. Consumer prices rose 1.1% m/m in January (market consensus: 0.7% m/m) in January, bringing the annual inflation rate to 7.24% from 8.17% in December. 12-month ahead inflation expectations were revised down to 6.69% from 6.81% in the previous survey, the Central Bank said on February 20.

Consumer prices are expected to rise 0.49% m/m in February and 0.61% m/m in March, the survey also showed.

The participants of the Central Bank survey slashed their current account deficit forecasts for 2015 to $40.3bn from $41.4bn while they revised the 2016 deficit forecast upwards slightly to $44.6bn from a previous $44.4bn. The government sees both this year and next year’s deficit at $46bn.

GDP growth expectations for 2015 revised to 3.5% in February versus 3.4% in the previous survey while the 2016 expectations were unchanged at 3.8%, said the Central Bank.

Central Bank Expectations Survey  
  Oct Nov Dec Jan Feb
End-Year Inflation (%) 9.16 9.22 9.02 6.82 6.72
12-Month Ahead Inflation (%) 7.54 7.50 7.21 6.81 6.69
End-Year Current Account Deficit ($ bn) -47.8 -46.7 -44.6 -41.4 -40.3
End-Year GDP Growth (%) 3.2 3.2 3.0 3.4 3.5
Source: tcmb  

Related Articles

Four Turkish companies reportedly consider IPOs in London or Istanbul

Turkey’s Enerjisa, Memorial Health Group, Tab Gida and Baskent Gaz are considering public offerings in London or Istanbul, unnamed sources told Bloomberg on July 19. Enerjisa, a 50:50 JV ... more

Turkey bars entry to thousands from more than 140 nations over suspected IS ties

Turkey has arrested and deported thousands of people suspected of having links to the Islamic State group according to a Turkish interior ministry report entitled “Turkey’s Fight ... more

Evolution Equity Partners closes $125mn cybersecurity-focused fund

Evolution Equity Partners announced on 17 July the final closing of a new fund with total capital commitments of $125mn to make investments in cybersecurity and next generation enterprise software ... more

Dismiss