Türkiye’s construction cost index climbed to its highest level in 15 months, according to the latest figures released by the Turkish Statistical Institute (TÜİK).
Data showed that construction costs increased by 27.24% year-on-year in March 2026, accelerating from the previous month and marking the sharpest annual rise since late 2024. On a monthly basis, the index rose 2.76%, reflecting continued pressure on both material and labor expenses in the sector.
TÜİK reported that material costs rose 25.61% annually, while labor costs surged 30% compared with the same period last year. The building construction cost index also posted strong growth, increasing 26.26% year-on-year.
Economists say rising raw material prices, wage increases, and ongoing post-earthquake reconstruction projects continue to drive costs higher across Türkiye’s construction industry. Analysts warn that sustained increases may put additional pressure on housing prices and infrastructure investments in the coming months.
The construction sector remains one of the key pillars of the Turkish economy, with rebuilding efforts in earthquake-affected regions contributing significantly to demand and activity levels nationwide.
Source: Patronlar Dünyası/ Prepared by: İlayda Gök