12:37 - 3.02.2025

---

February 3, Fineko/abc.az. Annual inflation in Turkey has slowed slightly less than expected at the beginning of the year, while monthly price increases also accelerated more than predicted, ABC.AZ reports with reference to Bloomberg.

Consumer prices in Turkey rose by 42.1% year-on-year in January, compared with 44.4% a month earlier, TurkStat reported on Monday. The median forecast in a Bloomberg survey of analysts was 41.1%.

Monthly inflation rose to 5% from 1% in December, which is higher than market expectations of 4.3%.

The central bank of Turkey lowered the cost of borrowing in January for the second month in a row and made it clear that similar steps would follow. It reduces its weekly REPO rate by 250 basis points to 45%.

Central Bank’s head Fatih Karakhan should submit an inflation report on February 7. According to the bank's latest forecast, consumer price growth will slow to 21% by the end of the year.