Page last updated on February 20, 2013
Economy - overview:
Turkey's largely free-market economy is increasingly driven by its industry and service sectors, although its traditional agriculture sector still accounts for about 25% of employment. An aggressive privatization program has reduced state involvement in basic industry, banking, transport, and communication, and an emerging cadre of middle-class entrepreneurs is adding dynamism to the economy and expanding production beyond the traditional textiles and clothing sectors. The automotive, construction, and electronics industries, are rising in importance and have surpassed textiles within Turkey's export mix. Oil began to flow through the Baku-Tbilisi-Ceyhan pipeline in May 2006, marking a major milestone that will bring up to 1 million barrels per day from the Caspian to market. Several gas pipelines projects also are moving forward to help transport Central Asian gas to Europe through Turkey, which over the long term will help address Turkey's dependence on imported oil and gas to meet 97% of its energy needs. After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth - averaging more than 6% annually until 2008. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis and GDP rebounded strongly to 9.2% in 2010, as exports returned to normal levels following the recession. Growth dropped to approximately 3% in 2012. Turkey's public sector debt to GDP ratio has fallen to about 40%. Continued strong growth has pushed inflation to the 9% level, however. Turkey remains dependent on often volatile, short-term investment to finance its large trade deficit. The stock value of FDI stood at $117 billion at year-end 2012. Inflows have slowed because of continuing economic turmoil in Europe, the source of much of Turkey's FDI. Further economic and judicial reforms and prospective EU membership are expected to boost Turkey's attractiveness to foreign investors. However, Turkey's relatively high current account deficit, uncertainty related to monetary policy-making, and political turmoil within Turkey's neighborhood leave the economy vulnerable to destabilizing shifts in investor confidence.
GDP (purchasing power parity):
$1.125 trillion (2012 est.)
country comparison to the world: 17
$1.093 trillion (2011 est.)
$1.007 trillion (2010 est.)
note:
data are in 2012 US dollars
[see also:
GDP country ranks ]
GDP (official exchange rate):
$783.1 billion (2012 est.)
[see also: GDP (official exchange rate) country ranks ]
GDP - real growth rate:
3% (2012 est.)
country comparison to the world: 109
8.5% (2011 est.)
9.2% (2010 est.)
[see also:
GDP - real growth rate country ranks ]
GDP - per capita:
$15,000 (2012 est.)
country comparison to the world: 87
$14,600 (2011 est.)
$13,800 (2010 est.)
note:
data are in 2012 US dollars
[see also:
GDP - per capita country ranks ]
GDP - composition by sector:
agriculture: 8.9%
[see also: GDP - composition by sector - agriculture country ranks ]
industry:
28.1%
services:
63% (2012 est.)
Labor force:
27.11 million
country comparison to the world: 23
note:
about 1.2 million Turks work abroad (2012 est.)
[see also: Labor force country ranks ]
Labor force - by occupation:
agriculture: 25.5%
[see also: Labor force - by occupation - agriculture country ranks ]
industry:
26.2%
services:
48.4% (2010)
Unemployment rate:
9% (2012 est.)
country comparison to the world: 103
9.8% (2011 est.)
note:
underemployment amounted to 4% in 2008
[see also:
Unemployment rate country ranks ]
Population below poverty line:
16.9% (2010)
[see also: Population below poverty line country ranks ]
Household income or consumption by percentage share:
lowest 10%: 2.1%
[see also: Household income or consumption by percentage share - lowest 10% country ranks ]
highest 10%:
30.3% (2008)
Distribution of family income - Gini index:
40.2 (2010)
country comparison to the world: 58
43.6 (2003)
[see also:
Distribution of family income - Gini index country ranks ]
Investment (gross fixed):
21.9% of GDP (2012 est.)
country comparison to the world: 74
[see also: Investment (gross fixed) country ranks ]
Budget:
revenues: $179.9 billion
[see also: Budget revenues country ranks ]
expenditures:
$200.4 billion (2012 est.)
Taxes and other revenues:
23% of GDP (2012 est.)
country comparison to the world: 138
[see also: Taxes and other revenues country ranks ]
Budget surplus (+) or deficit (-):
-2.6% of GDP (2012 est.)
country comparison to the world: 91
[see also: Budget surplus (+) or deficit (-) country ranks ]
Public debt:
40.4% of GDP (2012 est.)
country comparison to the world: 87
40% of GDP (2011 est.)
note:
data cover central government debt, and excludes debt instruments issued (or owned) by government entities other than the treasury; the data include treasury debt held by foreign entities; the data exclude debt issued by subnational entities, as well as intra-governmental debt; intra-governmental debt consists of treasury borrowings from surpluses in the social funds, such as for retirement, medical care, and unemployment; debt instruments for the social funds are sold at public auctions
[see also:
Public debt country ranks ]
Inflation rate (consumer prices):
9.1% (2012 est.)
country comparison to the world: 192
6.5% (2011 est.)
[see also:
Inflation rate (consumer prices) country ranks ]
Central bank discount rate:
5.25% (31 December 2011)
country comparison to the world: 10
15% (22 December 2009)
[see also:
Central bank discount rate country ranks ]
Commercial bank prime lending rate:
19% (31 December 2012 est.)
country comparison to the world: 30
17% (31 December 2011 est.)
[see also:
Commercial bank prime lending rate country ranks ]
Stock of narrow money:
$83.29 billion (31 December 2012 est.)
country comparison to the world: 39
$71.95 billion (31 December 2011 est.)
[see also:
Stock of narrow money country ranks ]
Stock of broad money:
$386.5 billion (31 December 2012 est.)
country comparison to the world: 28
$346.2 billion (31 December 2011 est.)
[see also:
Stock of broad money country ranks ]
Stock of domestic credit:
$520.9 billion (31 December 2012 est.)
country comparison to the world: 26
$456.6 billion (31 December 2011 est.)
[see also:
Stock of domestic credit country ranks ]
Market value of publicly traded shares:
$201.8 billion (31 December 2011)
country comparison to the world: 28
$306.7 billion (31 December 2010)
$225.7 billion (31 December 2009)
[see also:
Market value of publicly traded shares country ranks ]
Agriculture - products:
tobacco, cotton, grain, olives, sugar beets, hazelnuts, pulses, citrus; livestock
Industries:
textiles, food processing, autos, electronics, mining (coal, chromate, copper, boron), steel, petroleum, construction, lumber, paper
Industrial production growth rate:
9.2% (2011 est.)
country comparison to the world: 16
[see also: Industrial production growth rate country ranks ]
Current account balance:
-$59.74 billion (2012 est.)
country comparison to the world: 189
