Turkish Central Bank Reveals New Dollar & Inflation Forecasts

The Central Bank of Turkey (TCMB) has released its February 2025 Market Expectations Survey, showing significant adjustments in dollar exchange rate, inflation, and interest rate forecasts. The report, based on insights from 69 experts, reflects economic shifts that could influence Turkey’s real estate market.

What is the Expected Dollar Exchange Rate by the End of 2025?
According to the report, the projected USD/TRY rate for the end of 2025 dropped from 43.03 TRY to 42.89 TRY. However, the 12-month forecast increased from 43.81 TRY to 43.96 TRY.

Will Inflation Continue to Rise?
Revised projections indicate an increase in annual inflation (CPI) expectations from 27.05% to 28.30%. The 12-month forecast stands at 25.38%, while the 24-month estimate is 17.26%.

What About Interest Rate Predictions?
Interest rate expectations have also shifted, rising to 44.79% by the end of 2025, signaling continued tight monetary policies by the Turkish Central Bank.

These changes are crucial for real estate investors, as exchange rates and interest rates play a vital role in shaping the market. Monitoring Turkey’s economic policies will be key to making informed investment decisions.

Source: Türkiye Acil