Turkey’s annual consumer inflation rate continued its downward trend in November 2025, falling to 31.1% from 32.87% in October, according to data released by the Turkish Statistical Institute on December 3.
This represents the lowest year-on-year inflation rate since July 2021 and the sixth consecutive monthly slowdown since the post-election peak of 75.5% in May 2024.
On a monthly basis, consumer prices rose 1.9% in November, slightly below market expectations of 2.1% to 2.3%.
This slowdown is primarily due to positive effects during the base period, the delayed impact of the central bank’s intensive monetary tightening cycle (with interest rates currently at 50%), and the relative stability of the Turkish lira during recent months.
Core inflation (CPI excluding energy, food, alcohol, tobacco and gold) fell to 29.6%, providing further evidence that underlying price pressures are beginning to ease.
The Turkish central bank has maintained a hawkish stance throughout 2025, keeping the one-week repo rate unchanged at 50% since March after a cumulative lifting cycle of 4,150 basis points that began in mid-2023.
Turkish Central Bank Governor Fatih Karahan has repeatedly stressed that monetary policy will remain tight until inflation falls permanently towards the 5% target.
Despite the easing, inflation remains among the highest in emerging markets, continuing to erode purchasing power and keeping real interest rates deeply negative.
