Economy of Turkey

Since the foundation of the republic a century ago, Türkiye's economy has been transformed from an agrarian to a modern and industrial one, becoming a regional powerhouse.

The per capita income was only $45 at current prices in 1923, rising to $65 in 1927 when the country's population was 13.6 million.

The World Bank has confidence in the policies of Türkiye's new economic team, says Humberto Lopez, the bank's country director, adding that the economic outlook for the Turkish economy will improve in mid-2024.

Earlier in September, the global lender decided to more than double its funding for Türkiye to $35 billion over the next three years.

The growth of the Turkish manufacturing sector moderated in August as firms faced challenges in securing new business, according to a survey conducted jointly by the Istanbul Chamber of Industry (ISO) and S&P Global.

The headline PMI in August stood at 49, from 49.9 in July,

Turkey's economy team is capable of bringing down inflation to single digits, Turkey's President Erdogan told reporters during his flight back from Hungary on Sunday.

According to a readout of his response to questions, Erdogan also said his government had enabled a fall in inflation to single digits in the past, and Turks should have faith in his AK Party to do it again. [Reuters]

Encouraged by the steps the new economic team has taken over the past two and a half months, Türkiye's exporters have voiced optimism that the target of generating $265 billion in export revenues appears to be within reach.

The Turkish economy has remained resilient despite the shocks in the global economy, says Vice President Cevdet Yılmaz, reiterating that the government's priority will bring down inflation to single digits.

The European Bank for Reconstruction and Development (EBRD) is providing a loan of up to $90 million to the Turkish private lender Akbank as part of its Türkiye Disaster Response Framework (DRF), launched in the aftermath of the devastating earthquakes that hit the country's southeastern cities.

Treasury and Finance Minister Mehmet Şimşek has revealed that the government's economy program will focus on three main factors with an aim to fight inflation and bring financial stability to the country.

Turkish contractors were awarded a total of 110 projects worth $7.5 billion abroad in the first six months this year, the Trade Ministry has said.

This marked a 63 percent increase compared with the January-June period of 2022.

The average size of the contracts awarded to Turkish contractors in foreign countries was $68.1 billion, data from the ministry showed.

President Recep Tayyip Erdoğan has vowed to bring inflation, which is currently running at below 40 percent, down to single digits.