Turkish Central Bank Governor Highlights Inflation Decline and Caution

The Governor of the Turkish Central Bank, Hafize Gaye Erkan, stated that data indicates a continued decline in Turkey's inflation rate despite supply-side challenges, with a slowdown in inflation within the services sector. Meanwhile, economic growth remains sluggish due to weak domestic demand. She added that external shocks influence the future inflation trajectory, despite strong foreign exchange reserves. Expectations suggest that inflation will decrease gradually, but continued caution is necessary given the difficult economic conditions.

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