Turkey Inflation Data Shows 70% Annual CPI Rise, Bitcoin Corrects That
- Turkey released data analyzed by the Turkish Statistical Institute showing annual CPI inflation of 70%.
- Transport costs suffered the largest annual increase with inflation of 105%.
- Month-over-month data shows a CPI increase of 7.25%.
Turkey has released inflation data analyzed by the Turkish Statistical Institute showing that inflation is at its highest level in two decades, with the consumer price index (CPI) rising by nearly 70% , which is a problem bitcoin can solve.
Transportation, which would include fuel prices, suffered an annual increase of 105.86%. Meanwhile, food and non-alcoholic beverages rose 89.10%, paired with a 77.64% annual increase for furniture and household equipment. These were some of the highest vectors reported, but even the lowest numbers are staggering.
Turkish citizens saw annual increases of 35% for health care, 27% for education, 26% for clothing and footwear and 18.71% for communication. These were among the major groups of goods and services that experienced the lowest inflation rates.
The lira’s monthly inflation rate increased by 7.25%. Turkey’s local currency has been in freefall for some time as President Recep Erdogan refrains from raising interest rates, which is a standard tool used by central banks to reduce the burden of inflation .
Erdogan reportedly called rising interest rates ‘the mother and father of all evil’, says BBC.
This problem of inaccurate inflation data was pointed out by pro-bitcoin CEO of MicroStrategy, Michael Saylor when he declared:
“Inflation is a vector. A scalar index can be biased by choosing certain elements. Your index assumes that human beings do not need food, energy or home ownership, nor do they desire assets such as goods, stocks, bonds or commodities.
Bitcoin seeks to restore economies by separating economic controls from centralized entities that artificially increase the money supply for the benefit of their own regimes through a permissionless peer-to-peer protocol that does not allow malicious practices commonly seen in the scene. world.