The crisis in the economy began to reflect on the figures. Growth in the first two quarters of 2018, which was 7.2 percent and 5.3 percent respectively, fell sharply in the third quarter to 1.6 percent. According to experts, the effects of the financial crisis will become more pronounced in the last quarter, while the economy will contract with a slowdown.
Turkey Statistical Institute (TÜİK), this year's third quarter (July-September) for gross domestic product (GDP) has announced the results. Accordingly, GDP forecast increased by 1.6 percent in the third quarter of this year compared to the same quarter of the previous year. According to the production method, the GDP forecast in current prices was realized as 1 trillion 13 billion 453 million liras in the third quarter of this year by 21.8% compared to the same period of the previous year.
CONSTRUCTION INCREASED 5.3 PERCENT
In the third quarter of this year, the value added of the agricultural sector as a chained volume index increased by 0.3 percent, while the construction sector decreased by 5.3 percent, as compared to the same period of the previous year. The value added of the services sector, which consists of trade, transportation, accommodation and food service activities, increased by 4.5 percent.
Meanwhile, growth figures for the first two quarters of the year were revised.
Household final consumption expenditures increased by 1.1 percent in the third quarter of 2018 compared to the same quarter of the previous year. While the final consumption expenditures of the state increased by 7.5 percent, gross fixed capital formation decreased by 3.8 percent.
Exports of goods and services decreased by 13.6 percent in the third quarter of 2018 compared to the same quarter of 2017, while imports decreased by 16.7 percent.
Interpreting the growth data, Investment Economist Muammer Kömürcüoğlu said, "In the third quarter, the growth in private consumption and investments started to decelerate. The negative impact of the monetary tightening on the financial conditions in the last quarter of the year, the depreciation of TL in investment and consumption appetite to reduce and high inflation due to envisage a contraction in growth," he said.
AA Finance analyst and economist Haluk Bürümcekçi pointed out that the indicators on the strength of the growth trend indicate a contraction. Bürümcekçi predicted that the economy will contract significantly in the last quarter and said, "Under this view, the growth rate will be slower than the soft landing scenario drawn in the New Economy Program (YEP)."