Vice President Cevdet Yılmaz said, “Our 16-year uninterrupted growth continued in political and economic stability, and the effectiveness of the economic program we implemented with political determination and coordination and the solidity of our macroeconomic foundations were once again confirmed.” he said.
In his written statement, Yılmaz evaluated the Gross Domestic Product (GDP) data for 2025 announced by the Turkish Statistical Institute (TUIK).
Evaluating, “Turkish economy has demonstrated its resilience by continuing its strong and balanced growth in the targeted direction, in a conjuncture where global uncertainties have escalated and geopolitical tensions have intensified in our region,” Yılmaz emphasized that the economy has continued its uninterrupted growth performance for 22 quarters by growing at an annual rate of 3.4 percent in the fourth quarter of 2025.
Cevdet Yılmaz pointed out that the Medium Term Program (MTP) estimate of 3.3 percent was exceeded with the 3.6 percent growth recorded in 2025 as a whole, and said:
“Thus, our 16 years of uninterrupted growth continued in political and economic stability; the effectiveness of the economic program we implemented with political determination and coordination and the solidity of our macroeconomic foundations were once again confirmed. In this process, our national income reached 1.6 trillion dollars, a historical record, and our per capita income reached 18 thousand 40 dollars. With the sustainable high growth rates we have achieved in recent years, we anticipate becoming the 16th largest economy in the world and rising to the position of high-income countries.
In the fourth quarter of 2025, the industrial sector grew by 0.9 percent, while the services sector, including construction, recorded a growth of 3.7 percent. The agricultural sector shrank by 7.2 percent. The growth in the fourth quarter of 2025 was determined by the positive outlook in the services sector, including construction, and the increase in fixed capital investments. The limited increase in industrial production was consistent with the slowdown in foreign demand and the uncertainties in global trade policies. Our agricultural sector will shrink by 8.8 percent in 2025 due to the impact of adverse climatic conditions, especially agricultural frost and drought during the year. On the other hand, while maintaining the strict macroeconomic policy framework and with supports for selective areas, the industrial sector grew by 2.9 percent throughout the year, demonstrating its resilience in production capacity. “
“IN LINE WITH THE OBJECTIVES IN OVP, WE WILL CONTINUE TO IMPLEMENT OUR POLICIES WITH DETERMINATION”
Stating that the services sector, including construction, continued to make a strong contribution to growth by growing by 4.3 percent in 2025, Yılmaz stated that in addition to the reconstruction works in the earthquake zone, social housing projects, urban transformation practices and infrastructure investments throughout the country also contributed to maintaining the momentum in the construction sector, and in this context, the construction sector was one of the sectors that made a strong contribution to GDP growth by growing by 10.8 percent in 2025.
Yılmaz stated that the ratio of labor payments to national income in 2025 will remain at its high level as in the previous year, with 32.7 percent, and continued as follows:
“When evaluated in terms of expenditures, total consumption expenditures increased by 3.5 percent annually, while fixed capital investments increased by 7 percent and machinery and equipment investments increased by 5 percent, indicating that the composition of growth has evolved into a more balanced and sustainable structure. The limited increase of 0.8 percent in public consumption in 2025 is a concrete reflection of the fiscal discipline implemented within the scope of the fight against inflation. As a matter of fact, the ratio of budget deficit to national income in 2025 is 3.6 percent “The MTP was realized as 2.9 percent, well below our prediction.”
Stating that net exports of goods and services have a downward impact on growth in 2025, and that ongoing uncertainties in the global economy, weak demand outlook in trade partners and geoeconomic risks are decisive on foreign trade performance, Yılmaz made the following statements in his statement:
“Turkish economy maintains its resilience despite the fluctuations in external conditions, thanks to its strong production capacity, diversified export product and market structure. As a result of these developments, the current account deficit maintains its sustainable level with a ratio of 1.6 percent to national income as of the end of 2025. The macroeconomic stability framework and priority regulations for structural reforms that we have implemented have proven their effectiveness despite the global and domestic challenges encountered, and the gains achieved have created a solid policy basis for the 2026-2028 period. “In line with the targets set out in the MTP, we will continue to resolutely implement our policies that increase the resistance of our economy against shocks, strengthen our fight against inflation, improve the investment environment and support productivity growth.”
