Remarks on the current Turkish Economy
The Turkish economy has shown remarkable performance with its steady growth over the last six years. A sound macroeconomic strategy in combination with prudent fiscal policies and major structural reforms in effect since 2002, has integrated the Turkish economy into the globalized world, while transforming the country into one of the major recipients of FDI in its region.
The visible improvements in the Turkish economy have also boosted foreign trade, while exports reached USD 102 billion by the end of 2009, up from USD 36 billion in 2002. Similarly, tourism revenues, which were around USD 8.5 billion in 2002, exceeded USD 21 billion in 2009.
Significant improvements in such a short period of time have registered Turkey on the world economic scale as an exceptional emerging economy, the 16th largest economy in the world and the 6th largest economy when compared with the EU countries, according to GDP figures (at PPP) in 2009.
Prior to the recent global recession which hit all economies throughout the world, the Turkish economy sustained strong economic growth for 27 quarters consecutively, making it one of the fastest growing economies in Europe. However, the global financial crisis has considerably challenged the macroeconomic and financial stability of many economies by adversely affecting financing facilities and external demand, thus causing a significant slowdown in all global economic activities.
International credit rating agency Moody’s upgraded Turkey's rating with a notch. The credit rating agency Fitch upgraded Turkey’s sovereign rating two notches to BB+. Turkey is one of the few countries that upgraded it's rating with two notches at a time when many others suffer.
‘The Economist’ points out :
Yet in many ways Turkey has weathered the credit crunch better than other emerging economies. Partly thanks to tough regulation, not a single Turkish bank has gone under. That is also because, unlike many Western banks, they have few toxic assets and limited mortgage exposure. So the government has not had to divert public money into rescuing banks.
Whereas the Gross Domestic Product (GDP) in Turkey expanded at an annual rate of 2.30 percent in the last quarter. Turkey Gross Domestic Product is worth 794 billion dollars or 1.28% of the world economy, according to the World Bank. Turkey is a rapidly developing country and the largest national economy in Central and Eastern Europe. Turkey's dynamic economy is a complex mix of modern industry and commerce along with a traditional agriculture sector that still accounts for about 30% of employment. It has a strong and rapidly growing private sector, yet the state remains a major participant in basic industry, banking, transport, and communication. This page includes: Turkey GDP Growth Rate chart, historical data and news.
2010 Real GDP Growth Rate Estimates for Turkey (%) |
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OECD |
6.8 |
World Bank |
6.3 |
IMF |
6.2 |
Sources: IMF Article IV Consultations; OECD Economic Outlook No: 87; World Bank Global Economic Prospect Summer 2010 |
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Sources : www.economist.com
www.tradingeconomics.com
www.imf.org
www.invest.gov.tr
