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BBVA chief says Turkish inflation may remain near 30% next year

BBVA chief says Turkish inflation may remain near 30% next year

At the COP31 climate summit in Antalya, BBVA CEO Onur Genç said Turkey’s inflation may stay high next year.

He put his current estimate at 25% to 30%, possibly near 30%, and said the forecast remains uncertain.

Genç said interest rates are unlikely to fall unless inflation declines, because borrowing costs need to move with inflation.

He also said problems at some investment funds had a limited effect on banks and were unlikely on their own to change foreign investors’ view of Turkey.

He argued that energy dependence leaves Turkey economically vulnerable, including through its effect on the current-account deficit.

He said more renewable power, backed by storage and stronger electricity networks, could help improve resilience and competitiveness.

BBVA has pledged €1 trillion in sustainable financing from 2018 to 2029; Genç said the bank had provided €250 billion from the start of 2025 to the end of September.

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What people are saying

Onur GençBBVA CEO
We estimate it will be between 25 and 30 for now.
via Habertürk
If inflation does not fall, interest rates will not fall.
via Habertürk
I do not think that issue alone will change foreign investors’ view of Turkey.
via Habertürk