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Istanbul’s inflation cools in August, data shows ahead of national figures: ICOC

A vendor serves a customer at a market in Istanbul, March 30, 2025. (AFP Photo)
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A vendor serves a customer at a market in Istanbul, March 30, 2025. (AFP Photo)
September 01, 2025 01:55 PM GMT+03:00

Consumer price growth in Istanbul slowed in August, with prices rising 1.8% monthly, easing from earlier double-digit gains in key categories earlier 2025, and 40.83% year-over-year, the Istanbul Chamber of Commerce (ICOC) reported on Monday.

In the previous month, the rise in retail prices was recorded at 2.6%, and the yearly rate had risen to 42.48%.

Education leads inflation in Istanbul in August

The sharpest increase came from education-related spending, which jumped 14.71% in August. The ICOC noted that the start of the new academic year pushed up the cost of school-related goods and services.

Other notable rises were seen in:

  • Alcoholic beverages and tobacco: 4.77%
  • Housing: 2.48%
  • Food and non-alcoholic beverages: 2.28%
  • Recreation and culture: 2.04%
  • Household goods: 1.42%
  • Various goods and services: 1.21%
  • Communication costs: 0.77%
  • Restaurants and hotels saw prices climb 0.39%
  • Transport posted a modest 0.18% increase

No change was observed in health-related expenditures during the month.

A street vendor sells traditional Turkish simit near Sultanahmet Square in Istanbul, Türkiye. (Adobe Stock Photo)
A street vendor sells traditional Turkish simit near Sultanahmet Square in Istanbul, Türkiye. (Adobe Stock Photo)

Clothing prices fall with seasonal change

The only category to record a decline was clothing and footwear, which dropped 2.95% as new seasonal collections entered stores. The chamber explained that seasonal effects and market conditions influenced price adjustments in both food and apparel.

The chamber added that shifts in housing, tobacco, and alcohol costs also played a role in shaping the August index.

Inflation set to be announced on Sept. 3

The ICOC’s monthly price index for Istanbul, Türkiye’s largest city and main commercial hub, is widely followed as a leading indicator ahead of nationwide consumer inflation figures to be released later this week by the Turkish Statistical Institute (TurkStat).

The data points to the likelihood that nationwide inflation may also show signs of easing, with a faster pace suggesting better-than-expected figures in line with the uninterrupted cooling trend since May 2024, when the rate slid to 33.5% in July.

TurkStat will release the nationwide inflation figures for August on Wednesday.

September 01, 2025 01:55 PM GMT+03:00
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