The education sector led the way in contributing to Turkey’s annual inflation rate increase in March, experiencing a surge of 80.42%. This was followed by housing prices, which rose by 68.63%, and food and alcoholic beverages, which saw a 37.1% increase.
In February, Turkey’s central bank projected inflation rates of 24% for 2025 and 12% for 2026.
Analysis by the Inflation Research Group (ENAG), comprised of independent academics and economists, placed the annual inflation rate for March at 75.2%.
The arrest of Istanbul’s Mayor, Ekrem Imamoglu, on March 19, ignited a sharp depreciation of the lira in recent weeks. Imamoglu, a social democrat, is perceived as the main contender against President Recep Tayyip Erdogan.
Since mid-March, the lira has devalued from 36 units per dollar to over 41 units, making imports more costly.
