ANKARA, Turkey (AP) — Statistics show Turkey's economy slowed in the third quarter of 2018, hit by high inflation and a currency crisis.

Turkish Statistical Institute figures released on Monday showed that the economy grew by 1.6 percent in the period from July to September compared with the previous year.

The rate was below market expectations of 2 percent growth and down from the 5.3 percent growth recorded in the previous quarter.

The Turkish lira lost some 40 percent of its value against the dollar this year before improved relations with the United States and a major interest rate hike helped the currency to rebound.

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Yearly inflation eased to 21.6 percent in November after hitting a 15-year high of 25.2 percent in October.