CBRT Sectoral Inflation Expectations: Market and Real Sector Forecasts Continue to Decline

Sectoral Outlook on Inflation Expectations The Central Bank of the Republic of Türkiye (CBRT) has released its Sectoral Inflation Expectations report, which includes results from the Survey of Market Participants, the Business Tendency Survey, and the Household Inflation Expectations Survey conducted in collaboration with the Turkish Statistical Institute (TurkStat).
The report, prepared with input from financial and real sector experts, manufacturing firms, and households, outlines annual consumer inflation forecasts for the next 12 months.
According to the data, 12-month inflation expectations decreased by 0.10 percentage points to 22.10% for market participants and by 0.90 percentage points to 32.00% for the real sector compared to the previous month.
In contrast, household inflation expectations remained unchanged from the previous month, staying at 48.81%.
Household Focus on Food and Energy The proportion of households expecting inflation to decrease over the next 12 months fell by 4.63 percentage points to 20.33%.
According to the survey, which included responses from 3,217 households, the product and service groups expected to see the highest price increases are food, fuel, and energy.
The share of participants identifying food as one of the product groups with the highest price increases recorded a slight decrease of 0.2 points, reaching 41.1%.
Decline in Housing Price Expectations The survey results also indicated a decline in expectations regarding the housing market.
The expected increase in housing prices at the end of the next 12 months dropped by 3.82 percentage points to 35.41%.
These figures suggest that while the improvement in inflation expectations continues within the market and real sectors, households maintain a more cautious stance.