Turkey's taking a different approach to tame inflation: the government just greenlit modest tax hikes on essential goods and services starting 2026, with motor fuel getting hit particularly hard. The move is part of a coordinated push with the central bank to wrestle inflation back under control. It's not aggressive, but it signals the authorities are willing to squeeze demand from the consumer side while letting monetary policy do the heavy lifting. For markets watching macro trends, this kind of fiscal tightening in emerging economies often compounds currency pressure and affects cross-border capital flows—worth keeping tabs on.
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PrivacyMaximalist
· 7h ago
Turkey's recent moves are basically drinking poison to quench thirst. The surge in fuel prices has directly killed the consumer side, and the exchange rate pressure has long been a hidden minefield.
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LonelyAnchorman
· 7h ago
Turkey's move seems a bit sluggish, with taxes only starting in 2026, and the gasoline price hike is the harshest... Feels a bit late, hasn't inflation already gotten out of control?
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FancyResearchLab
· 7h ago
This set of strategies in Turkey should theoretically be feasible, but once again, it's about exploiting consumers, and Lu Ban No.7 is back to work.
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IfIWereOnChain
· 8h ago
Turkey's recent move is quite interesting. Oil prices are going to rise, which will put more pressure on the consumer side... It won't start until 2026, giving the market some time to react.
Turkey's taking a different approach to tame inflation: the government just greenlit modest tax hikes on essential goods and services starting 2026, with motor fuel getting hit particularly hard. The move is part of a coordinated push with the central bank to wrestle inflation back under control. It's not aggressive, but it signals the authorities are willing to squeeze demand from the consumer side while letting monetary policy do the heavy lifting. For markets watching macro trends, this kind of fiscal tightening in emerging economies often compounds currency pressure and affects cross-border capital flows—worth keeping tabs on.