Turkish Central Bank Governor Naci Agbal announced that the central bank estimates that inflation will be 9.4% by the end of 2021. In the first inflation report for this year.
Agbal said that the decline in exchange rates in recent months indicates that the effect of the exchange rate on inflation will decrease.
He announced that inflation expectations for 2021 had not changed. “We estimate that inflation will be 9.4 percent by the end of 2021,” Aghbal added.
The highlights from Agbal’s comments are as follows:
- We have kept our expected inflation expectations in our October inflation report.
- We estimate that inflation will be 7% in 2022.
- We will reach our inflation target by the end of 2023.
- The MPC will continue to use all tools at its disposal to reach the 5% target.
- We estimate that we will reach the inflation target by the end of 2023. We will maintain our cautious stance until we reach the target.
- In the event that inflation expectations and pricing behavior indicate a deviation from the medium-term target path, additional tightening will be firmly introduced.