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Erdogan: Turkey's economy has entered a positive cycle


九月, 02 2025
watermark Economic news

Inflation in Turkey continues to slow down, and the economy is showing steady growth, President Recep Tayyip Erdogan said. According to him, after a period of instability in March-June, the country returned to a «strong positive cycle.»


The President noted that GDP growth in the second quarter was 4.8%, which he called «a pretty strong result.» With the exception of the agricultural sector, which was affected by frost and drought, most industries are showing a steady recovery.


«The unemployment rate has dropped to single digits, foreign exchange reserves have reached a record, and inflation continues to go down. This will contribute to further improvement of financial conditions,» Erdogan said.


According to the Turkish Institute of Statistics, annual inflation slowed to 33.52% in July from 35.05% in June. The independent ENAG group estimates the price increase to be significantly higher, at 65.15% in annual terms.


After the May peak (75.45%), inflation has been declining for the third month in a row. The Ministry of Finance expects the figure to fall below 20% by 2026. Earlier, the Central Bank of Turkey lowered its key rate by 300 bps to 43%.



    






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