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Turkey’s net monthly minimum wage will be 22,104 Turkish lira ($630.36) in 2025, Turkish President Tayyip Erdogan said on Tuesday, marking a 30% increase from 2024.
The minimum wage hike, which impacts some 9 million workers and is seen as a benchmark for the increase in private sector salaries, is expected to elevate inflation in the coming months, according to economists.
According to Reuters calculations based on central bank studies, a 25% wage increase would raise annual inflation by between 1.5 and 5 percentage points.
Turkish inflation declined to 47.09% in November from an annual high of 75% in May, mainly due to tight monetary and fiscal policies. However, the improvement in the print was slower than previously forecast according to the central bank.
($1 = 35.0659 liras)
 (Reporting by Ezgi Erkoyun; Editing by Chris Reese)
