The Turkish economy’s remarkable performance over the last 15 years is a testament to its steady growth. Sound macroeconomic strategies, prudent fiscal and monetary policies, and ongoing structural reforms have led to high growth rates and increased confidence in the Turkish economy.
- Economic Growth:
Turkey’s economic growth has been noteworthy, as evidenced by its ranking as the 13th largest economy globally and the 5th largest in Europe according to the World Economic Outlook Report (2016). In 2017, the Turkish economy achieved a remarkable 11.1% growth rate in the third quarter, contributing to an overall growth of 5.1% in the first half of the year. This growth was driven by investments and exports, amounting to 3.9% of the total. For the first three quarters of 2017, the economy achieved an impressive total growth of 7.4%, making Türkiye a leader in economic growth among OECD, EU, and G20 countries. The projected overall growth rate for 2017 is approximately 6.5–7%, maintaining Türkiye’s position as a leader in the OECD and G20. - Foreign Trade:
Turkey boasts a vibrant trade environment, with a trade volume of 342 billion USD in 2016. The country’s exports amounted to 143 billion USD, while imports reached 199 billion USD. Notably, the average growth rate of Turkish exports between 2005 and 2016 was 6.4%, surpassing the global average of 4.3%. Projections for 2017 expect exports to reach 153.3 billion USD, followed by 170 billion USD in 2018 and 193.1 billion USD in 2019. Recent estimates place Türkiye’s exports at 156 billion USD, exceeding the targeted 153.3 billion USD. - Foreign Direct Investments (FDI):
Turkey’s commitment to attracting foreign direct investments (FDI) is evident in its rise from the 71st to the 55th place in the global competition index. Between 2003 and 2016, the country attracted 176.6 billion USD in FDI, with a 2016 FDI figure of 12.3 billion USD despite regional tensions. Notably, Türkiye has stood out as West Asia’s largest FDI destination since 2012, attracting 8.29 billion USD in foreign investment during 2017. - Privatization:
Turkey’s privatization efforts have been focused on reducing the state’s role in sectors such as health, education, social security, national defense, and infrastructure investments. Privatization revenues between 2004 and 2015 amounted to 58 billion USD, contributing to a total revenue of 66 billion USD between 1986 and 2015. The privatization of various harbors, power plants, facilities, real estate, ships, and mines further reflects the country’s commitment to a competitive market economy. - Tourism:
Turkey’s thriving tourism sector ranks as the 6th most popular tourist destination globally, attracting over 30 million tourists annually. With a target of 50 million tourist arrivals and 50 billion USD in tourism revenues by 2023, the tourism industry is set to contribute significantly to the economy. In 2016, 30.9 million tourists visited, contributing 18.7 billion USD to the economy. A 29% increase in foreign tourists was observed in 2017, with 26 million tourists visiting and generating 15.5 billion USD in revenue during the first three quarters.
With a solid economic foundation, strategic growth strategies, and a commitment to investment and innovation, Turkey is poised to continue its journey as a global economic player, offering a range of opportunities for international partners and investors.