The bank also said it saw upside risks to its year-end policy rate forecast, which it kept at 35%, but predicted that the central bank's key interest rate would end next year at 45% rather than previous estimates of 40%.
"August CPI suggests protracted disinflation process," JPMorgan's Fatih Akcelik said in a note to clients.
"Since we expect persistent inflation, we forecast more monetary tightening to address inflationary pressures after March 2024 municipal elections."
Turkey's annual inflation rate surged to a higher-than-expected 58.94% in August, official data showed earlier on Monday, rising for a second month after a steep fall in the lira currency and recent tax increases.
(Reporting by Karin Strohecker, editing by Alun John)
