Annual inflation rises slighly to 31.5 pct in February

ANKARA

Türkiye’s annual inflation rate edged up to 31.53 percent in February, coming in slightly above market expectations, while consumer prices rose 2.96 percent on a monthly basis, official data showed on March 3.

The monthly figure was higher than the 2.81 percent forecast, while the annual reading exceeded estimates of 31.35 percent, according to the Turkish Statistical Institute (TÜİK).

Consumer prices increased 2.96 percent compared with the previous month, taking the year-on-year rise to 31.53 percent.

Annual core inflation was recorded at 29.46 percent in February, the institute’s data showed.

Among the three main spending groups with the highest weight in the index, annual price increases were led by housing, water, electricity, gas and other fuels, which rose 42.33 percent. Food and non-alcoholic beverages increased 36.44 percent, while transport rose 28.86 percent.

Their contributions to annual inflation were 6.24 percentage points for housing-related costs, 9.07 percentage points for food and non-alcoholic beverages and 4.63 percentage points for transport, TÜİK said.

Food also provided the biggest push on a monthly basis.

Prices in food and non-alcoholic beverages climbed 6.89 percent in February, while transport rose 2.58 percent and housing, water, electricity, gas and other fuels increased 2.40 percent.

The monthly contributions were 1.71 percentage points for food and non-alcoholic beverages, 0.43 percentage points for transport and 0.27 percentage points for housing-related costs, the data showed.

TÜİK said that out of 174 sub-categories covered by the index, prices fell in 27 categories in February, were unchanged in five and rose in 142.

Commenting on the data, Treasury and Finance Minister Mehmet Şimşek said the government was working to limit the inflationary impact of rising oil prices driven by geopolitical developments.

He said recent sharp increases in food prices over the past two months were expected to be partially offset in the period ahead, depending on weather conditions.

Şimşek also said the authorities would continue to use all policy tools in a coordinated way to keep the disinflation process on track tools would continue to be used in coordination to keep the disinflation process on track.