Macroeconomics

In the first major financial crisis of the 21st century which erupted in 2007-2008, and whose tsunami reached Europe's shores in 2010, five European countries failed to avoid bailouts: Greece, Ireland, Portugal, Cyprus and, in part, Spain. Of these, only one, Greece, had twin deficits - in its current account and its budget.

As the picture of the new economic administration becomes clearer, the ready-made garment sector reiterated its call for solutions to long-standing problems.

Australia's central bank hiked interest rates to an 11-year high yesterday and warned that further rises may be on the horizon to get surging prices under control.

The Reserve Bank of Australia lifted the key rate 25 basis points to 4.1 percent, its highest level since May 2012, with governor Philip Lowe saying inflation had "passed its peak" but was still stubbornly high.

Türkiye's annual inflation rate dropped below 40 percent in May for the first time in 16 months, pushed down by a temporary offer of free gas to households, official data showed on June 5.

The common inflation in the Eurozone on an annual basis slowed sharply in May to 6.1% from 7% in April, preliminary data from Europe's official statistics agency Eurostat showed.

The Turkish Statistical Institute (TÜİK) has said that it will take a government decision on free natural gas into account when calculating the May inflation, and that it is expected to have a strong effect in pushing the inflation index down.

President Recep Tayyip Erdoğan has vowed to fight inflation and to establish a finance management team with global reputation.

"Eliminating the problems caused by the rise of prices and compensate for welfare losses are the most urgent issues in the days ahead," Erdoğan said in a speech he delivered in Ankara after winning the second round of the presidential election.

The Federal Reserve will make only modest progress in its fight against inflation for the rest of this year, even while keeping its benchmark interest rate at a 16-year high, a group of business economists predict in a survey released Monday.

Greece posted a 5.2-billion-euro decrease in the current and capital account deficit in the first quarter of 2023 compared to the first quarter of 2022, a development related to the significant growth in the balance of secondary incomes, i.e.

Japan's consumer prices rose 3.4 percent on-year in April, in line with market expectations, government data showed on May 19.    

The figure, which excludes volatile fresh food prices, followed a 3.1 percent rise recorded in both March and February.