Economic analysts expect Turkey’s inflation will only get worse as the country grapples with President Erdogan’s unorthodox strategy on monetary policy.
- Turkey’s inflation for the month of May rose by an eye-watering 73.5% year on year.
- Food prices in the country of 84 million rose 91.6% in May.
- President Erdogan has for years refused to meaningfully raise rates to cool the resulting inflation.
- He instructed the country’s central bank to repeatedly slash borrowing rates last year even as inflation continued to rise.
- By the spring of 2021, Turkey had seen four different central bank chiefs fired; by that time, the central bank had seen a total of four in two years.
- Inflation will only get worse as the country grapples with President Erdogan’s strategy on monetary policy.