Turkey’s inflation expectation rises as growth expectation goes down
Based on results from a survey conducted by Central Bank of Turkey, expectations regarding future economic indicators were shared with public.
INFLATION EXPECTATIONS HAVE RISEN
Expectations of respondents for current year-end consumer inflation (CPI) which was 40.47 percent in the previous survey period, was found 46.44 percent in this survey period.
The CPI expectation after 12 months was 26.43 percent in the previous survey period and 28.41 percent in this survey period. The CPI expectation after 24 months was 17.03 percent and 17.68 percent, respectively, during the same survey periods.
GROWTH EXPECTATION FALLS
Participants’ expectations for GDP growth for 2022 were 3.4 percent in the previous survey period and was found as 3.2 percent in this survey period.
The GDP growth forecast for 2023 also decreased from 4.2 percent in the previous survey period to 4.0 percent in the April survey.
CURRENT ACCOUNT DEFICIT EXPECTATION INCREASED
The expectation for the current account deficit for 2022, which was $ 21.2 billion in the survey a month ago, increased to $ 27.5 billion in the April survey.
Expectations that the war which caused energy prices to rise, could reduce Turkey’s tourism and export revenues also negatively affected current account deficit expectations.
The April 2022 Survey of Market Participants was answered by 51 participants consisting of representatives of the real sector and the financial sector, as well as professionals, and the results were evaluated based on the responses of the participants.
