Turkey’s Economic Confidence Hits 10-Month Low in July Amid Sluggish Outlook
tr-economy
The Turkish Statistical Institute (TÜİK) has released its Economic Confidence Index data for July 2025, revealing a modest decline in overall sentiment across multiple sectors.
The economic confidence index slipped by 0.4%, falling from 96.7 in June to 96.3 in July. This marks the lowest level since September 2024, when the index had dropped to 95.
Sectoral Breakdown: Confidence Dips in Services, Retail
-
Consumer Confidence Index: Down 1.38%, landing at 83.5
-
Real Sector (Manufacturing) Confidence: Rose 0.5% to 98.9
-
Service Sector Confidence: Fell 0.8% to 110
-
Retail Trade Confidence: Dropped 0.5% to 107.9
-
Construction Sector Confidence: Increased 2.2% to 88.8
While construction and manufacturing showed slight optimism, consumer sentiment and services continued to drag the index lower—highlighting the uneven nature of Turkey’s economic recovery.
Monthly Trend in 2025 Economic Confidence Index
-
January: 99.7
-
February: 99.2
-
March: 100.8 (yearly peak)
-
April: 96.6
-
May: 96.7
-
June: 96.7
-
July: 96.3 (10-month low)
What It Means
The dip in July reflects lingering uncertainties in consumer demand, price stability, and service sector performance. Despite a resilient construction outlook and modest gains in manufacturing, economic sentiment remains cautious, suggesting households and businesses are still reacting to inflationary pressures and policy uncertainty.
