Official data revealed that Turkey’s economy grew by 4.8% in the second quarter of the year, surpassing expectations. The Turkish Statistical Institute data showed that the GDP for the second quarter increased by 1.6% compared to the previous quarter on a seasonally adjusted basis and calendar factors.
The data indicated that growth in the first quarter was revised upward to 2.3% from 2%, while last year’s economic expansion was adjusted to 3.3% from 3.2%.
The institute published an attached document explaining the revision of the GDP data series as part of efforts to align the Turkish system with European national accounting standards.
The Central Bank began a monetary easing cycle last December after keeping the main interest rate steady for eight months, with inflation then peaking at 75% last year.
In April, the bank tightened its monetary policy to ensure stability following market turmoil caused by the arrest of Istanbul’s mayor, Ekrem İmamoğlu.
Finally, the bank returned to easing monetary policy last month as inflation fell to about 33%, noting that the effect of the policy tightening became clear in the slowdown of demand.
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