01.06.2026 10:20
The Turkish economy grew by 2.5% in the first quarter of 2026 compared to the same period last year and by 0.1% compared to the previous quarter.
The Turkish Statistical Institute (TurkStat) announced the gross domestic product (GDP) data for the first quarter of this year.
GDP increased by 2.5 percent in the first quarter of 2026; economists participating in AA Finance's expectation survey had predicted that GDP would increase by 2.7 percent on an annual basis in the first quarter. Thus, growth remained below economists' expectations.
SHARP CONTRACTION IN INDUSTRY
When examining the activities that constitute GDP, on an annual basis in the first quarter: the total gross value added of information and communication activities increased by 9.5 percent, other service activities by 5.2 percent, the agricultural sector by 4.6 percent, trade, transportation, accommodation and food services by 3.7 percent, financial and insurance activities by 3.5 percent, the construction sector by 3.2 percent, real estate activities by 3.0 percent, taxes minus subsidies on products by 2.0 percent, professional, administrative and support service activities by 1.9 percent, and public administration, education, human health and social service activities by 1.8 percent. The industrial sector, however, decreased by 0.8 percent.
QUARTERLY GROWTH 0.1 PERCENT
The seasonally and calendar adjusted GDP chain-linked volume index increased by 0.1 percent compared to the previous quarter. The calendar adjusted GDP chain-linked volume index increased by 2.6 percent in the first quarter of 2026 compared to the same quarter of the previous year.
GDP BECAME 17 TRILLION
The gross domestic product estimate by production method in the first quarter of 2026 increased by 35.7 percent at current prices compared to the same quarter of the previous year, reaching 16 trillion 999 billion 977 million Turkish Liras. The first quarter GDP value at current prices was 389 billion 598 million US dollars.
Exports of goods and services decreased by 12.7 percent in the first quarter of 2026 compared to the same quarter of the previous year as a chain-linked volume index, while imports decreased by 2.0 percent.
LABOR SHARE 42.7 PERCENT
Compensation of employees increased by 35.9 percent in the first quarter of 2026 compared to the same quarter of the previous year. Net operating surplus/mixed income increased by 34.4 percent.
The share of compensation of employees in gross value added at current prices was 42.7 percent in the first quarter of the previous year, while this rate was also 42.7 percent in the first quarter of 2026. The share of net operating surplus/mixed income was 36.3 percent in the first quarter of the previous year, while it was 35.8 percent in the first quarter of 2026.