Istanbul: Turkish Central Bank Governor Fatih Karahan announced on Thursday that the bank's primary focus is on achieving price stability, emphasizing that the conflict in Iran has impacted the path towards disinflation.
According to Yemen News Agency, Karahan made these remarks during a speech at a special session at the Anadolu Agency Participatory Finance Summit. The event, held at the Istanbul Financial Center, was organized in collaboration with the Turkish Participation Banks Association.
Karahan noted that the global economy is currently experiencing a period of heightened geopolitical tensions and uncertainty. He highlighted that rising energy prices are adversely affecting global inflation rates, and Turkey is beginning to feel the impact of these developments on inflation and the foreign trade balance.
He further explained that inflation data from last April clearly demonstrated the effects of the conflict, with expectations that energy-related pressures on inflation rates will persist in the short term. Karahan stressed that these developments will influence inflation in the medium term, shaping monetary policy directions. He assured that the central bank will consider these factors in its forthcoming decisions.