(Updated)
Türkiye’s annual consumer inflation eased to 31.75 percent in July, according to official data released on Aug. 3.
The annual rate slowed from 32.11 percent in June, the Turkish Statistical Institute (TÜİK) said.
Consumer prices increased 1.78 percent on a monthly basis in July, accelerating from a 0.99 percent rise in June.
Both figures came slightly below market expectations.
A state-run Anadolu Agency survey had forecast an annual inflation of 31.8 percent and a monthly increase of 1.82 percent.
“Despite challenging global and geopolitical conditions, disinflation continues,” Finance Minister Mehmet Şimşek said, commenting on the latest data, noting that in July, annual inflation declined by 0.4 points compared to the previous month.
“Thanks to the measures we have taken and the impact of the disinflation process, the rigidity in services inflation is decreasing. Annual inflation rates for education and rent decreased by 31 points and 34 points, respectively, compared to the same month last year,” he wrote on X.
“While effectively managing risks arising from geopolitical developments, we are not compromising on fiscal discipline or our goal of permanent price stability,” said Şimşek.
The consumer price index rose 19.86 percent compared with December 2025, while the 12-month moving average increase stood at 31.9 percent.
Among the three expenditure groups with the largest weights, annual prices increased 40.32 percent for housing, water, electricity, gas and other fuels, 37.53 percent for food and non-alcoholic beverages, and 30.83 percent for transportation.
Food and non-alcoholic beverages contributed 8.94 percentage points to the annual inflation rate, transportation 5.22 points, and housing 5.21 points.
On a monthly basis, transportation prices rose 2.59 percent, housing costs increased 2.25 percent, and food and non-alcoholic beverage prices climbed 1.61 percent.
Of the 174 expenditure subclasses covered by the index, prices increased in 117, declined in 50, and remained unchanged in seven, showed TÜİK data.
In the accompanying statement to the Monetary Policy Committee’s July 23 interest rate decision, the Central Bank said leading indicators suggested that the underlying trend of inflation would rise temporarily in July.
With July inflation data now in and tensions persisting in the Middle East, attention will now turn to the Central Bank’s rate decision.
At its July meeting, the bank kept its policy rate unchanged at 37 percent, as the markets expected, extending its monetary policy pause for a fourth consecutive meeting.
The next MPC meeting is scheduled for Sep. 10. The committee will convene again on Oct. 22 and Dec. 10.
