Turkish Economy Grows 7.3% in Q4

The Turkish economy grew by 7.3 percent year-on-year in the fourth quarter of 2017, following an upwardly revised 11.3 percent expansion in the previous three-month period and beating market expectations of 7 percent.

On the expenditure side, household consumption rose 6.6 percent, after a 11 percent jump in Q3, and fixed investment increased 6 percent, easing from a 13.2 percent climb in the previous period. Also, net external demand contributed negatively to GDP growth, as imports surged 22.7 percent (vs 15 percent in Q3) and exports advanced at a softer 9.3 percent (vs 17.9 percent in Q3). Meanwhile, government spending growth picked up to 7.4 percent from 6.7 percent in the previous three-month period.

On the production side, services output grew 9 percent (vs 21.4 percent in Q3), mainly boosted by: public administration, education, human health and social work activities (7 percent vs 3.5 percent); real estate activities (2.2 percent vs 2.8 percent); professional, administrative and support service activities (10.7 percent vs 15.8 percent); and financial and insurance activities (1.8 percent vs -5.8 percent). Industrial production grew by 8.8 percent (vs 14.9 percent in Q3), driven by manufacturing (8.2 percent vs 15.4 percent), and construction output advanced by 5.8 percent (vs 18.6 percent). Also, agiculture expanded by 6 percent after a 3.3 percent increase in the previous period.

On a seasonally adjusted quarterly basis, the economy expanded by 1.8 percent in the fourth quarter, following an upwardly revised 1.3 percent growth in the previous period. 

In 2017, the GDP rose by 7.4 percent, compared with 3.2 percent in 2016.

Turkish Economy Grows 7.3% in Q4

Turkish Statistical Institute l Joana Ferreira | joana.ferreira@tradingeconomics.com
3/29/2018 12:48:41 PM