Turkey GDP Growth Below Expectations in Q2

The Turkish economy advanced 5.1 percent year-on-year in the second quarter of 2017, easing slightly from an upwardly revised 5.2 percent expansion in the previous three months and below market expectations of 5.3 percent. Household consumption and exports slowed and public spending declined. The 2016 growth was revised up to 3.2 percent from 2.9 percent.

Household spending  rose at a softer pace (3.2 percent compared to 3.6 percent in Q1) while government consumption fell (-4.3 percent compared to 9.7 percent in Q1). Exports increased 10.5 percent (10.9 percent in Q1) while imports went up 2.3 percent (0.7 percent in Q1). On the other hand, gross fixed capital formation jumped 9.5 percent (3 percent in Q1).

On the production side, a slowdown was reported for services (5.7 percent compared to 6.3 percent in Q1) and industry (6.3 percent compared to 6.7 percent in Q1) while agriculture (4.7 percent compared to 1.7 percent) and construction (6.8 percent compared to 6 percent in Q1) increased at a faster pace. 

On a quarterly basis, the economy expanded 2.1 percent, above a downwardly revised 1.3 percent in the previous period. 

Turkey GDP Growth Below Expectations in Q2

Turkstat | Joana Taborda | joana.taborda@tradingeconomics.com
9/11/2017 7:28:52 AM