British economist Timothy Ash, a specialist in emerging markets covering Europe, the Middle East, and Africa, said Türkiye’s recent economic management has been effective but warned that the next phase would be more challenging as reducing inflation further will require a sacrifice in growth. Speaking at the Transforming Leadership Summit held on Oct. 9–11 in Sakarya, Türkiye, Ash said Türkiye’s inflation decline from May 2024’s 75.5% to 33.2% in September 2025 was an achievement; nevertheless, he added that sustaining this progress would likely require tighter fiscal policy.

Ash said the Central Bank of the Republic of Türkiye (CBRT) had entered a more stable period under the current leadership. "Investors now see a credible team in place," he said, referring to CBRT Governor Fatih Karahan and Treasury and Finance Minister Mehmet Simsek. Ash emphasized that Mehmet Simsek’s authority over economic policy was clear, saying, "Simsek is in charge, and that’s a positive message for markets." Still, he argued that the CBRT may have moved too soon in easing rates.

"If I were in charge, I would have stayed hawkish longer," he said, adding that keeping monetary policy tighter for an extended period would have helped consolidate confidence. The Turkish central bank resumed interest rate cuts at its July meeting with a 300-basis-point reduction and continued the easing cycle in September with a further 250-basis-point cut, bringing the policy rate down to 40.5%.

British economist Timothy Ash, a specialist in emerging markets covering Europe, the Middle East, and Africa, said Türkiye’s recent economic management has been effective but warned that the next phase would be more challenging as reducing inflation further will require a sacrifice in growth. Speaking at the Transforming Leadership Summit held on Oct. 9–11 in Sakarya, Türkiye, Ash said Türkiye’s inflation decline from May 2024’s 75.5% to 33.2% in September 2025 was an achievement; nevertheless, he added that sustaining this progress would likely require tighter fiscal policy.

Ash said the Central Bank of the Republic of Türkiye (CBRT) had entered a more stable period under the current leadership. "Investors now see a credible team in place," he said, referring to CBRT Governor Fatih Karahan and Treasury and Finance Minister Mehmet Simsek. Ash emphasized that Mehmet Simsek’s authority over economic policy was clear, saying, "Simsek is in charge, and that’s a positive message for markets." Still, he argued that the CBRT may have moved too soon in easing rates.

"If I were in charge, I would have stayed hawkish longer," he said, adding that keeping monetary policy tighter for an extended period would have helped consolidate confidence. The Turkish central bank resumed interest rate cuts at its July meeting with a 300-basis-point reduction and continued the easing cycle in September with a further 250-basis-point cut, bringing the policy rate down to 40.5%.