Turkey's Medium-Term Economic Program: Targets

Turkey's Medium-Term Economic Program: Targets

According to Turkey's recently published Medium-Term Economic Program, the country's economy will grow by 9% this year and another 5% in 2022.

The government will aim for 5.5% growth in 2023 and 2024. The average target for gross domestic product (GDP) growth will be 5.3%.

In the second quarter of 2021, Turkey's GDP has already climbed 21.7% on a year on year basis, the highest annual growth rate since 1999. Annual inflation in Turkey, which rose to 19.25% in August from 18.95% in July, is forecast to drop to 16.2% by the end of this year.

The current account deficit to GDP ratio is projected to be 2.2% next year, further falling to 1.5% in 2023 and 1% in 2024. According to the program, GDP per capita is expected to exceed $ 11,000 by 2024. This figure will be $ 9,947 in 2022, $ 10,703 in 2023 and $ 11,465 in 2024.

It is also planned to reach the value of the Turkish lira 8.30 against the dollar by the end of the year.

Among other things, it is noted that the unemployment rate in Turkey, which in June was 10.6%, by the end of this year will reach 12.6%. The government intends to reduce it to 12% next year, 11.4% in 2023 and 10.9% in 2024.