Strong Performance Despite Regional Challenges
December, 2015

Back in Feb. 6, the International Monetary Fund forecast growth in the Turkish economy at 3.4 percent for 2015. Despite the regional challenges facing Turkey, the economy managed to exceed expectations and produce a better than expected growth rate of close to 4.7 percent according to an economist with Ziraat Securities in Istanbul. The economic growth was accelerated in part by strong business activity in Turkey, including a significant number of Turkish mergers and acquisitions was at $4.3 billion during the first eight months of 2015, according to the report, with 124 transactions. High-tech and retail were the main sectors seeing such activity. Additionally, with a growth in average salaries, there has been an increase in consumption behaviour and domestic demand for goods and services. Household demand makes up about two-thirds of Turkish Gross Domestic Product, and it has grown year-on-year at about 4 percent in 2015, according to data from the Turkish Statistical Institute. Low oil prices also boosted the Turkish economy by reducing the pressure of inflation as the commodity fell to an 11-year low on Dec. 21. Turkey is becoming a model for countries that can continue to produce a strong economic performance despite regional challenges. Looking to invest in Turkey? Contact us for a full risk analysis of your position and to learn how to maximise your investment.