FinMin Nebati Expects Inflation to Peak Below 50% in April, Contrary to Analyst Forecasts

LOCAL NEWS

• FinMin Nebati says he sees inflation peaking below 50% in April after remaining elevated from January.
  • However, he said he does not expect further negative developments in the lira and does not see further depreciation, contrary to most sell-side analysts
• Council of Europe launches infringement procedure against Turkey over the Kavala case after rejecting the ECHR’s calls to release him. The committee will evaluate whether to strip turkey of its Veto voting rights at the end of the assessment period
• Ruling AKP & MHP Alliance votes down proposal on removing VAT on electricity & gas for residential use.
  • The proposal was put forward by the CHP after a notable 25-50% rise in energy bills, emphasizing that 20% of tax is bill expenses and would provide much-needed support to citizens. The CHP has been pushing to cancel this latest price hike in court.
• Delivery workers are staging walkouts in Izmir & Istanbul in protest of below inflation wages and pushback against unionization.
  • Tredyol recently gave int to pressure and raised salaries 39%, which the other companies are now using as their benchmark for a 38-40% rise. Strikes are mostly happening among companies with employees registered as individual contractors