Türkiye’s economy grew by 2.5% in the first quarter of 2026, demonstrating resilience amid geopolitical tensions, global uncertainties, and climbing energy costs. Official figures indicate that the gross domestic product (GDP) increased annually during January-March, although this was a slowdown from the 3.4% growth noted in the previous quarter. Seasonally adjusted, the economy expanded by 0.1% compared to the previous quarter.
The deceleration was attributed to escalating regional instability and heightened volatility in energy markets, which have intensified inflationary pressures. Despite these obstacles, Türkiye has achieved 23 consecutive quarters of economic growth, a fact highlighted by government officials. Finance Minister Mehmet Şimşek emphasized the economy’s resilience in the face of external shocks and reduced demand from major trading partners, noting that the national income now exceeds $1.6 trillion, underscoring the economy’s robustness.
Among the various sectors, information and communication led with an impressive 9.5% annual growth. Other sectors such as services, agriculture, trade, transportation, tourism, finance, and construction also reported solid performances. Household consumption was a significant contributor to this economic activity, rising 4.8% compared to the same period the previous year, while government expenditures saw a moderate increase.
However, the industrial sector reported a contraction of 0.8%, reflecting a drop in manufacturing activity influenced by global economic challenges. Despite this, economists anticipate that Türkiye will continue to navigate international market uncertainties and energy price fluctuations. Domestic demand coupled with ongoing economic reforms is expected to bolster growth in the coming quarters.