Mehmet Şimşek: Inflation Expectations Are Approaching Our Targets

In a social media post, Şimşek shared results from the Central Bank’s July Market Participants Survey.

He highlighted that inflation expectations are moving closer to the targets, with year-end inflation expectations decreasing to 43%, 12-month expectations dropping to 30%, and 24-month expectations falling to 19.3%.

Şimşek added:

"Since the announcement of the Medium-Term Program, inflation expectations for 12 and 24 months ahead have continuously declined. The improvement in expectations during this period of rising annual inflation indicates confidence in the success of our disinflation policies. While we expect a temporary increase in monthly inflation in July due to short-term effects, we anticipate a significant decline in annual inflation. The disinflation process will become more pronounced in the coming months."