Turkish economy

Price tags of olives are seen at a store on March 3, 2025, in Istanbul, Turkey

As Turkey's inflation dips to 35%, will central bank pivot on interest rates?

Inflation has slowed to the lowest level since 2021, sparking speculation that the central bank could resume easing monetary policy amid mounting pressure on Turkey's finance chief — but analysts caution against a rush.

People look at the Hurjet, an advanced jet trainer light attack aircraft, during the opening day of the International Defense and Aerospace exhibition in Istanbul, Oct. 22, 2024.

Analysis

Can Turkey's Hurjet deal with Spain propel it into NATO’s defense market?

Spain’s choice of Turkey’s Hurjet reflects Ankara’s growing credibility as an arms supplier, increasing the prospect of broader cooperation in Europe’s defense sector.

Barin Kayaoglu

By Barin Kayaoglu

In Ankara, reporting on geopolitics and national security

TAUSEEF MUSTAFA/AFP via Getty Images

India wages economic war on Turkey for supporting Pakistan in Kashmir

Turkish business interests are taking a hit as India retaliates against Ankara’s backing of Pakistan on Kashmir.

JOHN THYS/AFP via Getty Images

New German government to decide on Eurofighter sale to Turkey: Officials

Germany’s outgoing government will leave the Eurofighter sale decision to incoming Chancellor Friedrich Merz, official German sources suggested to Al-Monitor.

Latest News

Turkey’s Simsek tours US for IMF, WB summits, Treasury Secretary meeting

KARIM JAAFAR/AFP via Getty Images

Turkey hikes interest rate to 46% amid turmoil over Imamoglu’s arrest

People walk past a currency exchange board showing the Turkish Lira which fell to historic lows against the dollar after the news of the arrest of Istanbul Mayor Ekrem Imamoglu on March 19, 2025 in Istanbul, Turkey.

Turkey's budget deficit narrows to $6.8B in March as lira fluctuates

A picture taken on Dec. 7, 2021, in Istanbul shows Turkish liras.

Turkey's Simsek says economy will ride out Trump tariffs without lasting scars

Turkey's Minister of Finance Mehmet Simsek takes part in a panel discussion during the Doha Forum in the Qatari capital on December 7, 2024. (Photo by KARIM JAAFAR / AFP) (Photo by KARIM JAAFAR/AFP via Getty Images)

Gaye Erkan

Breaking | Last Updated: November 23, 2023, 10:50 am

Turkey’s Central Bank delivers larger-than-expected rate hike

The decision comes after Turkish President Recep Tayyip Erdogan said earlier this week that the lira's depreciation has come to an end.

Turkish Treasury and Finance Minister Mehmet Simsek (C) addresses a statement to the journalists at the party's group meeting at the Turkish Grand National Assembly (TBMM) on June 21, 2023. (Photo by Adem ALTAN / AFP) (Photo by ADEM ALTAN/AFP via Getty Images)

What awaits Turkey's economy as its foreign exchange woes ease?

After the March local polls, Ankara will be free of major domestic political concerns and is expected to enact a stern program to cool the economy and make real progress in fighting inflation.

This photograph taken on June 9, 2023, shows the Central Bank of Turkey, in Ankara.

Turkey reports account surplus amid fiscal policy changes

Turkish bonds may also become more attractive, according to a top bank, as Turkey’s new economic leaders raise interest rates and end unpopular policies.

Erdogan

What is driving Turkey’s Erdogan pro-Hamas, fiery Israel criticism?

Diplomats and experts say Erdogan’s response to Hamas’ attack on Israel and its aftermath have seriously undermined Turkey’s international position.

One-hundred Turkish lira notes on display at a currency exchange in Kuwait City, August 12, 2018.

Turkey’s inflation slightly eases in October, remains above 60%

Following three months of increases, Turkey’s year-on-year inflation slightly eased last month.

Burak Kara/Getty Images

Turkey raises year-end inflation forecast to 65%, amid economic headwinds

The projection has been raised from 58% in July due to weakening global economic activity and oil volatility.

A teller holds Turkish lira banknotes at a currency exchange office, Istanbul, Aug. 13, 2018.

Turkey’s Central Bank hikes interest rates to 35%

The bank cited geopolitical risks for the move along with a larger than expected increase in inflation in the third quarter.

ADEM ALTAN/AFP via Getty Images

Turkey's finance chief Simsek embarks on third Gulf trip

The Turkish finance minister's new Gulf tour marks his third trip to the region as Ankara ramps its efforts to attract foreign funds.

Turkish train

UK, Turkey in talks about third railway project

The project follows the UK government underwriting financing in July to support the construction of a 286-kilometer high-speed electric railway in southern Turkey.

People shop at a local street market, Istanbul, Turkey, May 3, 2023.

Turkey’s annual inflation exceeds 61% in September

Month-on-month consumer prices slightly eased to 4.75% in September, down from 9.09% in August.

People walk past a currency exchange shop on June 23, 2023 in Istanbul, Turkey. The Turkish Lira weakened to a record low of 25.74 against the dollar, a day after the central bank hiked interest rates from 8.5 percent to 15 percent in the first rate decision since the appointment of new central bank governor Hafize Gaye Erkan and the re-election of President Recep Tayyip Erdogan last month. (Photo by Chris McGrath/Getty Images)

Turkey's lira makes a comeback amid economic U-turn: Goldman Sachs

Foreign investors are beginning to return to the Turkish economy after Erdogan's new government reversed the previous unorthodox policies in June.

Chris McGrath/Getty Images

Breaking | Last Updated: September 21, 2023, 2:07 pm

Turkey’s Central Bank hikes interest rates to 30%

The bank cited higher-than-expected inflation rates and rising oil prices for the hike.