Two major financial crises, the coup attempt, the epidemic that locked the world, and finally the disaster of the century… Turkiye has faced many difficulties in the last 20 years. So, how are these difficulties reflected in the economic data? Here is the 20-year report card of the economy…
Turkiye entered the 2000s with a banking crisis.
With the November 2002 elections, breakthrough moves started in the economy.
In the 20-year period, there were two major crises, 2001 and 2008.
In addition to the coup attempt, wars and internal conflicts in the near geography, an unprecedented epidemic in history was witnessed.
Finally, we faced the disaster of the century.
Despite all the difficulties, the economic size has exceeded $900 billion.
The per capita income also exceeded $10 thousand. The average growth rate for the last 20 years has increased from 4% to 5.5%.
Export was the engine of growth
It has increased more than 6 times in 20 years. It came from $36 billion 100 million to $254 billion. The number of exporters, which was 33 thousand in 2002, approached 115 thousand at the end of last year.
Employment increased
It reached the highest level in history with 31 million 800 thousand. In the 2002-2022 period, the employment rate increased from 44.4% to 47.5%. During this period, the labor force participation rate approached 54%.
And tourism…
Turkiye rose from 17 to 4th among the countries hosting the most tourists.
Despite the epidemic, a record was broken last year with 51 million 400 thousand tourists and $46 billion 300 million in tourism income.
Removal of banking sector debris inherited from 2001
The capital adequacy ratio of the sector was increased to 19.5%, above the average.
The NPL ratio has also decreased to single digits in 20 years. It decreased from 17.6% in 2002 to 2.1% at the end of 2022.
Capital markets deepened
The number of investors in the stock markets has exceeded 5 million. While global interest rates were increased, Turkiye gave priority to production and investment. The policy rate was reduced to single digits with 8.5%.
Information and communication technologies market increased 11 times in 20 years
It has reached $30 billion. The 100-year-old dream has come true, the first domestic electric car TOGG came off the band. The rate of domestic and nationality in the defense industry was increased from 20% to 80%.
Not only industry but also agriculture was prioritized
Agricultural product increased from $25 billion 100 million in 2002 to $58 and a half billion in 2022. The debt to the IMF has been zeroed. Fon’s “bitter prescriptions” remained in the dusty pages of history.
While doing all these, no concessions were made on the budget. The ratio of budget deficit to national income decreased below 1% in 2022. The share of public debt stock in national income decreased from 71.5% to 32%.
At this point, Turkiye now has a voice in the global economy. From energy to defense, from transportation to infrastructure, every project contributed to production.
Source: Trthaber / Prepared by Irem Yildiz