Turkey sees June inflation dip as officials and unions debate wage adjustments

In June 2024 Turkey's monthly inflation slowed to 0.99% and the annual rate fell to 32.1%, a 0.5‑point decline from the previous month. Finance Minister Mehmet Şimşek said the deflation process has restarted, driven by lower food and energy prices – fresh fruit and vegetable prices rose only 0.2% month‑on‑month and fuel prices fell. He added that normalising commodity prices, rule‑based pricing, softer rent inflation and moderate demand should sustain price stability.

Public‑servant union leader Hüseyin Söylemez criticised the recent 7% salary increase as insufficient, noting that real wages still lag inflation. He reported that the lowest civil‑service salary rose from 58,305 TL to 66,188 TL and the minimum pension from 27,772 TL to 31,527 TL, but many employees are considering leaving large cities. Söylemez also called for budget funds to be directed toward labour rather than interest payments and urged comprehensive salary and pension reforms.