Turkey’s Turkish Statistical Institute reported August inflation of 1.84 percent on a monthly basis and 31.51 percent on an annual basis. The cumulative two-month inflation rate for July and August reached 3.66 percent.
Pensions and future adjustments
The August data carries weight for pensioners in Turkey. The Social Security Institution and Bağ-Kur, which administer pensions, adjust payouts twice yearly, in January and July, calculating the adjustment rate from inflation recorded over the preceding six months.
August inflation provides the second monthly data point toward the January 2027 pension adjustment calculation. That adjustment will be determined once the Turkish Statistical Institute releases inflation readings for September, October, November and December, completing the six-month period that runs from July through the end of the year.
Context abroad
Turkey’s 31.51 percent annual inflation stands well above the euro area’s 3.3 percent in August and the 3.3 percent recorded for the United States in July.
Related: Euro area inflation hits 3.3%, matching forecasts · Indonesia's August inflation at 0.21% as food prices rise
Source: TurkStat | Data: FRED — St. Louis Fed
