In the face of global uncertainties and rising energy costs, Türkiye’s economy demonstrated resilience by expanding 2.5 percent in the first quarter of 2026. This growth, though slower than the previous quarter’s 3.4 percent, marks a continuation of Türkiye’s positive economic trajectory despite ongoing geopolitical tensions. On a seasonally adjusted basis, the economy saw a modest increase of 0.1 percent compared to the last quarter of the previous year.
Despite the slowdown attributed to regional instability and fluctuating energy markets causing inflationary pressures, Türkiye has now achieved 23 consecutive quarters of economic growth. Finance Minister Mehmet Şimşek praised the economy’s robustness, highlighting that the national income has exceeded $1.6 trillion. This signifies the underlying strength of Türkiye’s economy amidst external shocks and diminished demand from key trading partners.
The information and communication sector emerged as a standout performer with an annual growth rate of 9.5 percent, leading other sectors such as services, agriculture, trade, transportation, tourism, finance, and construction, all of which posted solid gains. Meanwhile, household consumption continued to be a significant contributor to economic activity, increasing by 4.8 percent compared to the same period last year. Government spending also saw moderate growth.
Conversely, the industrial sector faced challenges, contracting by 0.8 percent due to weaker manufacturing activity and global economic headwinds. Economists predict that Türkiye will persist in dealing with uncertainties in international markets and energy price volatility. Nonetheless, they expect domestic demand and ongoing economic reforms to bolster growth in the upcoming quarters.