Central Bank announces end-year US dollar and inflation forecast for 2019

Central Bank of the Republic of Turkey (CBRT) has announced its November expectation questionnaire. Accordingly, the end-year dollar estimate fell from TL 6.05 TL to TL 5.91, year-end inflation forecast fell from 12.69 percent to 12.18 percent.

In the CBRT Expectations Survey, end-year CPI expectation decreased to 12.18 percent from 12.69 percent in the previous survey period.

According to the results of the Central Bank “Expectation Survey”, 12 months CPI expectation which was 11.18 percent in the previous survey period, went down to 10.46 percent in this survey period. 24 month CPI expectation which was 9.76 percent  went down to 9.16 percent.

However despite these improving indicative figures (seems so at least), it is difficult to say the welfare of the citizens is getting better. On the contrary, cost of living has climbed up for the citizens urging them to sacrifice from spending for many basic needs.

It is also a known fact to many now that the US Dollar is suppressed by the government and once it is not possible to do so anymore the dollar could make a serious movement upwards, as experts often voice. If this would be the case the economy would certainly be more of a trouble for the ordinary citizen.

The experts voice the only way to recover the economy is implementing fundamental reforms in the area of law in particular, to comply with modern up-to-date European standards and upgrade production performance of the country.