Turkey's Inflation Hits 68.5% in March Despite Aggressive Rate Hikes

The inflation rate continues to climb, reaching its highest level in two decades, as the central bank struggles to contain the surge.

Turkey's inflation rate reached 68.5% in March, marking a consistent rise for the fifth consecutive month despite aggressive interest rate hikes.
The inflation surge is attributed to factors such as rising global energy prices, weakening of the Turkish lira, and the economic fallout from the COVID-19 pandemic.
Education, hospitality, and health sectors experienced the most significant annual price increases, with education costs soaring by 104%.
The Turkish central bank raised its benchmark interest rate to 50% in late March, aiming to combat the inflationary pressures.
Economic analysts predict that inflation could peak at around 75% by the end of May but may decrease to 45% by the end of 2024 if no further shocks occur.