Türkiye’s consumer inflation slowed to 29.73% year on year in September, according to data released by the Turkish Statistical Institute on October 5. The Consumer Price Index rose 1.84% from the previous month. The annual rate moved below 30% for the first time since November 2021. This does not mean that overall prices fell; it means prices were still higher than a year earlier, but the pace of the annual increase dropped below the 30% threshold.
With the September result, the CPI increased 24.32% from December 2025 and 31.49% on a twelve-month average basis. A Bloomberg HT survey conducted before the release had pointed to a monthly increase of 2.20% and an annual rate of 30.30%. Both reported figures came in below those expectations. Annual core inflation also eased to 28.70%, indicating a slower rate of price growth even when volatile items such as food and energy are excluded.
The picture varied across major spending groups. Among the three categories with the largest weights, food and non-alcoholic beverages rose 27.62% from a year earlier, transport increased 35.10%, and housing, water, electricity, gas and other fuels climbed 39.99%. Their contributions to annual inflation were calculated at 6.73, 5.96 and 4.84 percentage points respectively. In other words, a significant share of the annual increase continued to come from essential consumption, transport and housing-related costs.
On a monthly basis, food and non-alcoholic beverages declined 0.20%, while transport rose 2.79% and the housing group increased 2.71%. Food subtracted 0.05 percentage point from the monthly inflation rate, whereas transport added 0.49 point and housing added 0.33 point. Of the 174 subclasses covered by the index, prices increased in 133, declined in 35 and were unchanged in six. That distribution shows that monthly price pressure remained broad even as the headline annual rate eased.
Producer-price inflation also slowed on an annual basis. The Domestic Producer Price Index increased 2.07% in September from August and was 27.38% higher than a year earlier. Monthly producer prices had risen 2.57% in August. The slower monthly increase suggests that cost pressure was less intense than in the previous month, although a gain of more than 2% indicates that it has not disappeared.
The twelve-month average CPI rate of 31.49% also determines the maximum increase that can be applied to housing and workplace rental contracts renewed in October under the current calculation. This measure differs from the annual headline inflation rate because it reflects the average movement in consumer prices over the latest twelve-month period rather than a direct comparison with September 2025.
The September release will be closely watched in the monetary-policy debate, but one monthly report does not by itself determine the interest-rate path. The Central Bank of the Republic of Türkiye evaluates several indicators, including the underlying monthly trend, services inflation, expectations, the exchange rate and energy costs. The direction of inflation in the coming months will depend in part on food prices, housing and services, as well as developments in global energy markets. The figures therefore signal continued disinflation in annual terms while also showing that price pressures remain visible across most of the basket.
