Economics

Turkey’s Inflation Dip Gives Little Solace to Central Bank

  • CPI rate falls to 7 percent; Bloomberg survey 7.4 percent
  • Weak lira to take toll on prices later, analyst says

Turkish Lira's Collapse Weighs on Central Bank

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A surprise slowdown in Turkey’s consumer prices in November is unlikely to ease investor pressure on the central bank to maintain tight monetary policy after the lira plunged to a record.

The annual inflation rate dropped to 7 percent, mainly due to low food prices, according to official data released on Monday. The median estimate in a Bloomberg survey of economists was an acceleration to 7.4 percent.