Citigroup raises Turkey 2020 inflation forecast to 15 percent

Citigroup, the biggest U.S. bank, increased its year-end inflation forecast for Turkey to about 15 percent, the Diken news website reported.

The bank raised its prediction from a previous 11.7 percent, Diken said on Tuesday, citing a report by the company.

Turkey’s consumer price inflation rate climbed to 16.2 percent in March from 15.6 percent after food and commodity prices increased. The central bank says it is aiming to slow inflation to 9.4 percent by the end of the year by keeping interest rates elevated.

Citigroup lowered its 2021 economic growth estimate for the country to 3.4 percent from 4 percent.

The central bank’s Monetary Policy Committee is due to decide on interest rates on Thursday. Economists expect no change in the rate of 19 percent, according to surveys conducted by Reuters and Bloomberg.