Economics

Russia's war in Ukraine poses the greatest threat to the global economy, U.S. Treasury Secretary Janet Yellen said yesterday as G20 ministers prepare to start talks in Indonesia.

Inflation in the US has reached its highest level in 40 years. State statistics reported that the prices of consumer goods in the country increased by 9.1% in June, compared to the same month last year. This is the biggest jump since 1981 and more than the 8.8 percent inflation forecast by economists.

The fight will continue until the target of establishing permanent price stability is reached, Treasury and Finance Minister Nureddin Nebati has said, adding that the FX-protected deposit scheme (KKM) has helped curb local demand for foreign currencies.

European Commission to propose incentives for households and industry who reduce demand before winter

Türkiye's current account deficit widened by $3.2 billion from a year ago to stand at $6.5 billion in May, the country's Central Bank said on July 8.

The 12-month cumulative current account gap, thus, reached $29.44 billion.

Albanian Central Bank governor Gent Sejko at a press conference in Tirana on July 6, 2022. Photo: LSA

Bank governor Gent Sejko warned the country that a current inflation rate of 6.7 per cent might not have peaked, adding that while the country is expected to avoid a recession, growth will likely fall.

"The situation in the world economy is extremely unstable and recessions are not excluded", the managing director of the International Monetary Fund (IMF), Kristalina Georgieva, said in an interview with Reuters.

Asked about a possible global recession, the fund manager stressed: "The risk has increased, so it cannot be ruled out."

The market review highlighted continued signs of short-term rental growth while also cautioning against the possible influence of inflation & high gas prices

The government will increase the salaries of active and retired civil servants more than the six-month inflation rate, Labor and Social Security Minister Vedat Bilgin has said.

"We will make an additional raise of social protection for public servants above the inflation rate," he said, adding that the increase will also include retired civil servants.

British retail sales by volume dropped in May as soaring inflation caused consumers to limit spending, especially on food, official data showed on June 24.

Sales fell 0.5 percent compared with a rise of 0.4 percent in April, the Office for National Statistics (ONS) said.
April's data was sharply revised lower after an initial estimate showed retail sales had jumped 1.4 percent.