The Turkish Central Bank has said that inflation in the country will remain above 12% this year. Earlier, the inflation rate was estimated at 8.9 percent.
The central bank has also revised its previous inflation estimates for next year. Inflation was projected at 6.2 percent in 2021, but the central bank says it will rise to 9.4 percent.
According to a report by the Central Bank, these inflation estimates are based on the hope that a second wave of corona virus will not hit Turkey. If the virus re-emerges in the country, inflation cannot be stopped.
It should be noted that the Turkish Lira is depreciating sharply due to the escalating political dispute between Turkey and Europe. At present, one US dollar is equal to 8 Turkish lira. The Turkish lira has depreciated sharply this year.
If Turkey's exports do not increase, the pressure on the Turkish currency will continue.
