Inflation in Turkey accelerated in October 2026, with consumer prices rising by 2.58% month-on-month compared with 1.84% in September. Annual inflation reached 29.77%, representing a slight increase from the 29.73% recorded a month earlier, official data from the Turkish Statistical Institute (TÜİK) showed.
The figures exceeded market expectations for a monthly increase of around 2.4%. Food products, clothing and energy costs were the main contributors to the acceleration in inflation, Türkiye Today reported.
Clothing and footwear prices rose by 12.58% in just one month, while food and non-alcoholic beverages became 3.5% more expensive. Transport costs increased by 2.02%, while housing costs rose by approximately 2.8%.
On an annual basis, the strongest price pressures among the main spending groups were observed in housing, water, electricity and fuel, where prices rose by 40.24%. Transport services and costs increased by 36.39%, while food prices rose by 27.73%.
Core inflation, which excludes some of the most volatile components such as food and energy, reached 28.28% year-on-year. Meanwhile, producer prices rose by 1.65% compared with September and by 27.41% on an annual basis, indicating that businesses continue to operate amid significant price pressures.
The new data pose additional challenges for the Central Bank of Turkey, which cut its key interest rate by 100 basis points to 36% on October 22. This was the first interest rate cut since January.
The bank has already warned that rising energy commodity prices, geopolitical tensions and higher prices for fresh fruit and vegetables could complicate efforts to bring inflation under lasting control.
Nevertheless, some Turkish analysts believe that the acceleration in October does not necessarily signal a reversal of the trend toward slowing inflation. According to investment companies Ahlatcı Yatırım and Tacirler Yatırım, seasonal factors had a significant impact on the latest data, while improvements in some core indicators remain in place.
The two companies expect the central bank to cut interest rates by a further 100 basis points to 35% at its next meeting, scheduled for December 10.
For Turkish businesses, high inflation continues to mean higher production, logistics and financing costs. Price developments in the coming months will be crucial for monetary policy, investment activity and households’ purchasing power.