Turkish Lira Decent Pushes Citizens to Reduce Expenses
The Turkish lira has slashed to its all-time lowest rate, reaching 10 liras against USD, and analyzes indicate that the lira actually lost two-thirds of its value in five years, which significantly reduced the income of citizens, in contrast to the increase in consumer inflation, which accelerated for the fifth month in a row, driven by the rise in energy prices and the slash of the lira. The core inflation index showed that prices also rose at an annual rate of 16.82 percent, and retail price inflation in Istanbul, the business capital of Turkey, rose to 20.76 percent during the past month. This rise in prices and the decline in income prompted citizens to reduce their expenses and to dispense many of their habits that require additional expenses, especially with the rise in house rents, reaching almost half of the average income, and although the government has raised salaries more than once, citizens see that these increases are not commensurate with the rise of the USD and the economic conditions that are declining day after day. Citizens believe that the solution lies in increasing local production, and making it completely Turkish, since importing goods from abroad costs more than locally manufactured.