Şimşek sees continued disinflation, low early election risk
Treasury and Finance Minister Mehmet Şimşek told international investors in London that inflation is likely to continue falling albeit at a slower pace, while stressing that political backing for the government’s economic program remains strong and the probability of early elections is very low.
According to the presentation he delivered at the meeting in London and published on the ministry’s website on June 25, annual inflation is projected to slow to 26 percent in 2026.
Şimsek said the Iran war had been a major stress test for the economy, adding, “We stayed the course and that political ownership of the economic program remains strong.”
The current account deficit is rising but remains manageable, supported by higher domestic oil and gas production, the green transition, an expanding services surplus, industrial policy initiatives and investment in competitiveness and resilience, he noted.
