Turkey’s annual inflation rate dropped below 40 percent in May for the first time in 16 months, pushed down by a temporary offer of free gas to households, official data showed on Monday.Â
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Consumer prices rose by 39.6 percent on an annual basis and were almost stable, at 0.04 percent, compared to the previous month, according to the country’s statistics agency.
However, these official figures – the first since President Recep Tayyip Erdogan was re-elected in the 2023 Turkish elections – are challenged by independent economists from Turkey’s Inflation Research Group (ENAG).
The latter say annual inflation stands at between 105 and 109 percent, depending on whether or not the free gas offer is taken into account.
Erdogan, who is starting a third term in office, has said tackling inflation is a top priority.
It exceeded 85 percent in autumn 2022 before starting to slow in November.Â
While prices continue to rise every month, they are doing so less rapidly than during the previous year.
>> Read more : Will Turkey’s inflation crisis damage Erdogan’s re-election chances?
The official data was released as Turkey’s new vice president, Cevdet Yilmaz, said on Monday he will prioritise the fight against inflation and will pay special attention to improving the investment environment as he took up his post.
Erdogan announced his new cabinet on Saturday following last month’s elections and appointed Yilmaz to replace Fuat Oktay as vice president.
(FRANCE 24 with AFP and Reuters)
This story originally appeared on France24
