03.09.202507:26:30UTC+00Turkey Inflation Slows to 32.95% in August

In August 2025, Turkey experienced a slight reduction in its annual inflation rate, decreasing to 32.95% from July's 33.52%, surpassing market predictions of 32.6%. This trend reflects a continuous decrease for the fifteenth month in a row, reaching its lowest rate since November 2021. The decline in inflation can be attributed to moderated price growth in most sectors, notably transportation (24.86% from 26.57%), housing and utilities (53.27% from 62.01%), clothing and footwear (9.49% from 10.67%), household furnishings and maintenance (29.74% from 30.13%), education (60.91% from 75.54%), health services (36.59% from 37.49%), and restaurants and hotels (33.96% from 34.16%). However, there was a quicker increase in prices for food and non-alcoholic beverages (33.28% from 27.95%), alcoholic beverages and tobacco (29.71% from 27.79%), and communication (20.61% from 19.62%). Core inflation saw a decline to 33.0% from the previous 34.7% in July. On a monthly basis, consumer prices slightly decreased by 2.04% in August, compared to a 2.06% decrease in July, outperforming the anticipated increase of 1.79%.