The consumer price index rose 10.43 percent year-on-year, the Turkish Statistics Institute said, moderating from 10.61 percent in January, after prices rose by 0.56 percent last month, less than the 0.6 percent forecast in a Reuters poll.
A recent surge in inflation to three-year highs has fuelled concerns about the central bank's strategy to rein in rising prices while ensuring a soft landing for the economy this year as it slows after growing by more than 8 percent in 2011.
Annual inflation is currently more than double the central bank's year-end target of 5 percent, but the latest data showed an easing in core inflation readings.
"The numbers are likely to give the central bank some comfort," said emerging fx strategist Manik Narain at UBS in London. The easing in core inflation supported the bank's view that service prices are quite muted.
"Its policies are not in need of changing any time soon," he said, adding that the data was fairly positive for markets.
Despite rising world oil prices, the producer price index fell 0.09 percent on the month, below a forecast rise of 0.50 percent, for an annual rise of 9.15 percent. Analysts said the lira's recovery against the US dollar since the start of the year had helped ease inflationary pressures.
The lira weakened slightly after the data to 1.7743 against the dollar from 1.7722 beforehand. The yield on Turkey's benchmark bond due Dec. 12, 2013 fell to 9.27 percent from 9.28 percent before the data.
Fast domestic growth, rising commodity costs and a sharply weakening lira at the end of last year had all pushed prices higher, giving Turkish policymakers a headache.
The central bank has responded with a controversial policy mix which holds benchmark interest rates lower to deter speculative inflows while attempting to keep a lid on prices by managing the liquidity of banks.
INFLATION TO DIP IN MONTHS AHEAD
Last month the central bank made a surprise 100 basis point cut in its overnight lending rate as reduced concerns about the weak lira and current account deficit gave it room to help the economy gently down after last year's rapid growth.
According to the latest twice-monthly central bank survey of economists' expectations, annual consumer price inflation is expected to end this year at 7.26 percent, exceeding the official 5 percent target.
Analysts forecast that annual inflation would remain in double digits for a few months more despite the fall in core inflation.
"In particular the fall in core inflation was positive. We expect headline inflation to remain in double digits until May and only show a lasting fall from October," Garanti Securities strategist Tufan Comert said.
According to core inflation readings, the core-H index eased to 8.47 percent from 8.76 and the core-I reading falling to 8.12 percent from 8.42.