Turkey’s Fixed Capital Investment Reaches 5.65 Trillion TL in 2024

Türkiye recorded a substantial level of fixed capital investment in 2024, with total gross fixed investment in tangible assets reaching ₺5 trillion 645 billion, according to newly released data from the Turkish Statistical Institute (TÜİK). The figures, published as part of TÜİK’s annual industry and services investment statistics, offer a detailed snapshot of how businesses across key sectors allocated capital amid ongoing economic adjustment and structural transformation.

The data highlights the continued importance of productive capacity, logistics, and trade infrastructure in Türkiye’s investment profile, while also revealing a gradual shift in the composition of capital spending compared to previous years.

Manufacturing, Trade, and Logistics Drive Investment

The sectoral distribution of gross fixed investment shows that manufacturing remained the dominant contributor in 2024. Enterprises operating in the manufacturing sector accounted for ₺1 trillion 737 billion of total tangible asset investment, underscoring the sector’s central role in Türkiye’s industrial base and export-oriented growth model.

The wholesale and retail trade sector ranked second-largest, with ₺885 billion in investment spending. This reflects continued modernization across supply chains, retail infrastructure, and distribution networks, particularly in response to changing consumer behavior and digitalization.

Investment by companies active in transportation and storage reached ₺617 billion, highlighting the strategic importance of logistics, warehousing, and transport corridors. Analysts note that this level of spending aligns with Türkiye’s ambition to strengthen its position as a regional logistics hub connecting Europe, Asia, and the Middle East.

Together, these three sectors accounted for a significant share of total tangible asset investment, signaling that capital allocation remains closely tied to production, trade, and mobility.

Machinery and Equipment Take the Largest Share

A breakdown by asset type shows that machinery and equipment investments accounted for the bulk of overall spending in 2024. Businesses invested ₺2 trillion 822 billion in machinery and equipment, making it the single largest investment category within tangible assets.

Despite retaining the top position, the share of machinery and equipment investment declined slightly compared to the previous year. In 2023, machinery and equipment accounted for 52.3 percent of total tangible asset investment, while in 2024 this figure eased to 50 percent. Economists interpret this not as a slowdown in productive investment, but rather as a diversification toward other asset categories.

Strong Spending on Buildings and Infrastructure

Investment in existing buildings and structures amounted to ₺1 trillion 620 billion in 2024, reflecting continued demand for industrial facilities, commercial real estate, and operational infrastructure. This category includes factories, warehouses, offices, and other non-residential structures critical to business activity.

In addition, enterprises spent ₺721 billion on major renovations and large-scale improvements to buildings and construction projects. This suggests a focus not only on expansion but also on upgrading and extending the lifespan of existing assets—often linked to efficiency gains, regulatory compliance, and energy optimization.

Investment in land purchases reached ₺443 billion, pointing to long-term planning by firms seeking to secure strategic locations for future development. Meanwhile, spending on other tangible assets totaled ₺39 billion, representing a relatively small but specialized component of overall investment.

What the Investment Mix Signals

The composition of Türkiye’s 2024 investment spending provides important signals about the broader economy. The continued dominance of machinery and equipment indicates that productive investment remains a priority, even as financial conditions remain tight. At the same time, the rising weight of buildings, renovations, and land purchases suggests that companies are balancing short-term efficiency with long-term capacity planning.

Economists note that such an investment pattern is consistent with an economy undergoing disinflation and monetary tightening, in which firms prioritize efficiency, modernization, and strategic positioning rather than rapid expansion.

Investment Trends and Economic Outlook

The TÜİK data also points to resilience in private sector investment despite global uncertainty, geopolitical risks, and tighter financing conditions. Sustained capital spending at this scale supports employment, productivity, and medium-term growth potential, particularly in manufacturing and logistics.

Looking ahead, analysts expect investment direction to remain closely tied to monetary policy credibility, inflation dynamics, and external demand, especially from Europe. Continued emphasis on machinery, transport infrastructure, and industrial facilities could strengthen Türkiye’s competitiveness if supported by stable macroeconomic conditions.

Overall, the 2024 figures confirm that gross fixed capital formation in tangible assets remains a key pillar of Türkiye’s economic structure, reflecting both adaptation to current challenges and preparation for future growth.