Ankara: Turkish Treasury and Finance Minister Mehmet Simsek stated that inflation in Turkey would have been 7 percentage points lower if there had been no war in the region. This highlights the significant effects of regional tensions on the country’s inflation rates.

According to National Iraqi News Agency, Simsek discussed on Turkish channel TRT Haber that the war’s impact is not limited to oil and natural gas prices but also affects transportation costs, supply chains, and market expectations. His comments come at a time when Turkish economic authorities are working to stabilize inflation and assure markets that the fiscal and monetary program remains on a disciplined path.

Energy prices are a critical factor in how external shocks affect the Turkish economy, influencing transportation, production, and imports. This makes international instability a concern for both consumers and businesses. Despite these challenges, market evaluations will continue to depend on monthly inflation figures and the effectiveness of current policies in reducing prices without significantly slowing economic growth.