The Central Bank's year-end dollar and inflation forecast has changed.

The Central Bank of the Republic of Turkey (CBRT) has released its survey of market participants for September. In the survey, the year-end CPI forecast decreased from 43.31% to 43.14%. The 12-month ahead annual inflation expectation decreased from 27.71% to 27.49%. The 24-month ahead CPI expectation decreased from 19.30% to 18.38%. The Medium-Term Program had projected inflation to be 41.5% at the end of the year and 17.5% by 2025.

YEAR-END USD/TRY FORECAST DECREASED TO 37.16

The year-end USD/TRY expectation decreased from 37.27 to 37.16. The 12-month ahead exchange rate increased from 42.03 to 42.43 TL.

INTEREST RATE FORECAST FOR 12 MONTHS AHEAD DECREASED TO 31.66%

The Central Bank's policy rate forecast remained unchanged at 50% for this month. The expectation for 12 months ahead decreased from 33.30% to 31.66%. The expectation for 24 months ahead decreased from 21.61% to 20.85%.

GROWTH FORECASTS LOWERED

In the survey, the year-end growth forecast decreased from 3.4% to 3.2%, while the forecast for 2025 decreased from 3.5% to 3.4%.

DECREASE IN CURRENT ACCOUNT DEFICIT FORECAST

In the survey, the year-end current account deficit forecast decreased from $25.5 billion to $22.2 billion. The forecast for the end of 2025 also decreased from $25.7 billion to $24.3 billion.