FX.co ★ Turkey’s Producer Inflation Eases Slightly in January, But Remains Elevated at 27.17% YoY

Turkey’s Producer Price Index (PPI) growth slowed marginally in January 2026, with annual producer inflation easing to 27.17% year-over-year from 27.67% in December 2025. The fresh data, updated on 3 February 2026, indicate a modest deceleration in cost pressures at the factory gate, though producer inflation remains at a high level.

On a year-over-year basis, the January reading compares the change in producer prices to January a year earlier, while the December figure reflected the change relative to December of the prior year. The slight decline in the annual PPI rate suggests some stabilization in input costs but does not yet signal a decisive shift in Turkey’s broader inflation environment.

For market participants and policymakers, the PPI trend is closely watched as an early signal of potential future movements in consumer prices, given that producer costs often feed through to retail inflation with a lag. The persistence of PPI near 27% underlines that underlying price pressures in the production sector remain substantial despite the marginal easing at the start of 2026.