Inflation rises to 5.7 pct in June

Bloomberg

Annual inflation rose to 5.7 percent from a 39-year-low of 5.2 percent a month earlier, the statistics office said Friday. In the month, prices rose 0.1 percent.

The Central Bank has slashed 8 percentage points from the benchmark rate in as many months as it tries to minimize the effect of the global recession. The rate now stands at 8.75 percent.

"The Central Bank has already flagged an acceleration in June and it has pointed to continued easing" in monetary policy, said Haluk Bürümcekçi, chief economist at Fortis Bank. "The expectation is for a small cut" when the Bank next meets on July 16.