ANKARA: Turkey’s economy contracted in the third quarter on weak exports and spending, the Turkish Statistical Institute reported Monday. Gross domestic product fell 1.8 percent year-on-year in the third quarter, reversing prior quarter’s 4.5 percent expansion.
On the expenditure side, household spending dropped 3.2 percent in contrast to a 3.7 percent rise in the second quarter. Meanwhile, government spending surged 23.8 percent after rising 13.7 percent. Investment dropped marginally by 0.6 percent versus a 4.7 percent rise a quarter ago.
Exports plunged 7 percent, while imports climbed 4.3 percent. In the second quarter, exports remained flat and imports advanced 9.1 percent. The production-side breakdown of GDP showed that the agriculture sector shrank 7.7 percent and industry output fell 1.4 percent. At the same time, services output slid markedly by 8.4 percent. Meanwhile, construction sector grew 1.4 percent.
