In the third quarter of 2025, Turkey's economy expanded by 3.7% compared to the same period last year. This growth marks a deceleration from the revised 4.9% increase seen in the prior quarter, although it surpassed the anticipated slowdown to 4.2%. The primary factor holding back growth was net trade, as exports decreased by 0.7%, compared to a 2% increase in the second quarter, and imports grew by 4.3%, down from an 8.9% rise previously. Meanwhile, household consumption growth accelerated to 4.8% from 4.4%, and fixed investments reached a two-year high with an 11.7% increase compared to 9.1% earlier. Government expenditure also showed a recovery, climbing by 0.8% following a 0.6% decline.
On the production side, growth in several sectors improved. The construction sector saw activity rise by 13.9% compared to 11.1% previously. Financial and insurance activities grew by 10.8% up from 4%, and the information and communication sector increased by 10.1%, an improvement from 7.1%. Other service sectors expanded by 7.1% from a previous 2.5%, while industry expanded by 6.5%, slightly up from 6%. The trade, transport, accommodation, and food services sector grew by 6.3% versus 5.8% previously. However, agriculture, forestry, and fishing experienced a significant decline of 12.7%, worsening from a 5.5% drop earlier. On a quarterly basis, GDP rose by 1.1%, slightly down from a 1.6% increase in the preceding quarter.
