Turkish GDP Shrinks More Than Expected In Q3


The Turkish economy shrank 1.8 percent year-on-year in the third quarter of 2016, compared to an upwardly revised 4.5 percent expansion in the previous period and well below market expectations of a 0.5 percent fall. It is the first contraction since the third quarter of 2009, driven by fall in household spending, investments and exports.

Household consumption contracted 3.2 percent (+3.1 percent in Q2); investment fell 0.6 percent (+4.7 percent) while government spending jumped 23.8 percent (+13.7 percent in Q2). Net exports contributed negatively, as exports dropped 7 percent (after being flat in Q2) while imports rose 4.3 percent (9.1 percent in Q2). 

On the production side, both services (-8.4 percent compared to -0.8 percent in Q2) and industry (-1.4 percent compared to +4.9 percent in Q2) contracted and construction rose at a slower 1.4 percent (+15.7 percent in Q2).

Turkish GDP Shrinks More Than Expected In Q3


Turkstat |Yekaterina Guchshina | yekaterina@tradingeconomics.com
12/12/2016 7:31:00 AM