Turkey’s economic confidence index slides

Turkey’s official Economic confidence index slid by 2.0% in November from 101.4 in October to 99.3. The slide stemmed from consumer and services confidence indices.

The Lira weakness and high inflation are the main disturbing factors while strong export performance so far shield sentiment in the manufacturing sector.

The sharpest drop was observed in the “consumer confidence index” by 7.3% and to71.1.  The drop in the “services confidence index” was much narrower at 0.7% to 119.4.

In contrast, the “real sector (manufacturing industry) confidence index” posted 0.6% increase to 112.0 while the “retail trade confidence index” increased by 0.6% to 121.9.

The government’s policy of lower real rates boosts the “construction confidence index” that increased by 1.0% to 93.6 in November.

Economic confidence index, November 2021