Tax & Spend

Turkey Hikes Fuel Tax by 200% to Finance Earthquake Damages

  • Decision expected to boost inflation already at annual 38%
  • Move comes after central bank started tightening cycle

Residents queue to fill containers with gasoline at a gas station amid scarce supplies after earthquakes, in Hatay, in February. 

Photographer: Cansu Yıldıran/Bloomberg
Lock
This article is for subscribers only.

Turkey boosted its fuel taxes by almost 200% on Sunday, a move that will magnify inflationary pressures and further strain household budgets.

The new special consumption taxes on different types of fuel — including gasoline and diesel — were published in the Official Gazette.