Shocking Inflation: This country has a 70% inflation rate

Turkey is facing the highest prices in over 20 years as inflation soared to an unimaginable 70% in April and yet there is little in the arsenal to fight runaway inflation. Despite soaring prices President Recep Tayyip Erdogan, who is a self proclaimed enemy of rate hikes, has insisted that the central bank keeps rates unchanged.

This easy money policy while the global market changed course has led to a crisis in the currency, which lost as much as half its value against the dollar in a matter of weeks in December. Despite some stability the value of the Lira is down 12% vs the dollar in the year so far.

Also read/watch| Shocking Inflation: This country raised prices of basic staples by 300%

The biggest price increases in April were in the transport sector, standing at 105.9%, while the prices of food and non-alcoholic drinks jumped 89.1%.

Turkey’s financial crisis has been further compounded by Russia’s invasion of Ukraine, which has driven up prices, particularly for wheat. The loss of Ukrainian supplies has left it scrambling to find alternatives.

For the first time, Turkey has placed orders for 50,000 tonnes of wheat imports from India and reports indicate has started to buy wheat through private electronic-mandi as the price of 'atta' touches a record high even in India.