According to the official data released on September 11, the Turkish economy grew 5.1% in the second quarter of 2017 comparing to the same period of the previous year. The recovering from attempted militarist/political upheavals and following the April 16th referandum Turkey has re-assured its secure and trustworthy position once again and reflected this in the given numbers.
Both the national and foreign demand has contributed to this expansion. The national demand added a 3.2% increase to the overall growth rate whereas that of net foreign demand is recorded as 1.8%. The impact of the expansion of the state Credit Guarantee Fund (KGF) warranting loans to SMEs, more than tenfold to 70 billionUSD has also been undeniably evident.
According to Vice Prime Minister Mehmet Şimşek, once the April 16th referendum has eradicated the uncertainties, financial markets demonstrated a positive trend. At the same time trust among the real sector and the customers has risen again.
Examining the detail, the main industries and their respective shares in contribution to this growth has been declared by the Turkish Statistics Institute (TUIK) as follows: Agriculture 6.3%, manufacturing 6.3%, construction 6.8%, and services 5.7%.
After the growth indicators released most of the international investments banks and international institutions have revised their forecasts in an optimistic way. Given the political and economic stability, this increase is expected to trigger even an accelerated growth towards the remainder of the year.