erdem basci : recent economic and financial developments in turkey speech by mr erdem basci, governor of the central bank of the republic of turkey, at the press conference for the presentation of the october 2013 inflation report, ankara, 31 october 2013. * * * distinguished guests, welcome to the press conference held to convey the main messages of the inflation report. i will now present an overview of the report, which will be published on our website soon. the report typically summarizes the economic outlook underlying monetary policy decisions, shares our evaluations on macroeconomic developments and presents our medium - term inflation forecasts, which were revised in view of the developments in the last quarter, along with our monetary policy stance. in addition to the main text, the report includes ten boxes entailing interesting and up - to - date analyses on various topics. i strongly recommend that you read these boxes, which will soon be published on our website. now, i would like to convey the main messages of the report. firstly, i will review the global economic outlook given its undeniable influence on our policies. global monetary policy developments continued to influence financial markets in the third quarter of the year. ongoing concerns over global growth led to expectations that the us federal reserve might soon start trimming its bond purchases, while the pullback on bond purchases was postponed later on, causing the global risk appetite to remain volatile ( chart 1. 1 ). emerging economies witnessed capital outflows since the fed ’ s first signal for tapering off bond purchases in may ( chart 2 ). in this period, all financial assets have been re - priced on a global scale. as global economic activity remains weak, we expect uncertainties over global monetary policies to linger for some time. while the us economic recovery is yet to stabilize, financial volatilities and the recent budget battle have posed risks to the recovery by tightening financial conditions. despite some positive signs from the euro area economies, both the high unemployment rate and problems in the credit transmission mechanism have caused the economic outlook to remain weak. the fact that global monetary policies depend on high frequency data releases as well as the course of economic recovery, and that those data and recovery indicators are volatile, cause the uncertainties about global monetary policies to persist. 1. monetary policy and monetary conditions elevated uncertainties regarding global monetary policies since may led the cbrt to adopt a cautious monetary policy that took into account both inflation indicators and macro financial risks fueled by global uncertain

durmus yilmaz : press conference for the presentation of the inflation report speech by mr durmus yilmaz, governor of the central bank of the republic of turkey, at the press conference for the presentation of the inflation report, central bank of the republic of turkey, ankara, 31 january 2008. * * * distinguished guests and press members, welcome to the press conference for the presentation of the inflation report that is one of the most important communication tools of the formal inflation targeting regime that we implement. in this conference, i would like to give you a short summary of our evaluations and the central bank ’ s inflation forecasts which appear in the inflation report that will be posted on our website shortly today. 1. an assessment of the year 2007 i would like to start by a general assessment of inflation developments in the year 2007. the monetary tightening exercised since mid - 2006, has been successful in leading to a significant reduction in the underlying inflation. especially the 3. 6 percentage points fall in the services inflation, which confirmed the marked disinflation trend during 2007, was remarkable. the fall in headline inflation, however, was more limited, owing mainly to factors beyond the control of monetary policy, such as developments in energy, food, and administered prices. accordingly, inflation realized as 8. 39 percent at the end of 2007, breaching the upper bound of the uncertainty band of 6 percent. on the other hand, annual cpi inflation excluding food, energy and tobacco products was at 4. 8 percent ( figure1 ). figure 1 : annual cpi inflation and the target path annual inflation cpi excl. food, energy and tobacco target path uncertainty band source : turkstat, cbrt. the course of food prices has been main factor slowing down the disinflation process. a prolonged shortage of rainfall in turkey since autumn 2006 has resulted in low crop yields in 2007, which in turn translated to an adverse supply shock. global developments, such as increasing bio - fuel production, strong global demand for food and consequent rises in agricultural commodity prices, further added to the domestic food inflation through the external trade channel. these factors had an impact not only on unprocessed food such as fresh fruit and vegetables, but also on processed food such as grain and dairy products. accordingly, annual food inflation maintained its high levels, with an end - year figure of 12 percent. hence, food prices became the main factor impeding the disinflation process in 2007,