Business representatives highlighted the positive acceleration in industrial production during the last quarter, emphasizing that Türkiye’s annual economic growth of 3.2% in 2024 is both valuable and encouraging. The Turkish Statistical Institute (TUIK) announced the results of the Gross Domestic Product (GDP) calculated using the production method for 2024. Accordingly, Türkiye’s economy grew by 3.2% last year and recorded a 3% growth in the last quarter of 2024.
Based on the production method, GDP at current prices increased by 63.5% compared to the previous year, reaching 43 trillion 410 billion 514 million lira. The per capita GDP value was calculated at 507,615 lira ($15,463) at current prices in 2024.
Business leaders shared their insights on the 2024 growth data.
DEIK President Nail Olpak: Growth and Investment Trends Rebounding in the Last Quarter is Encouraging
Nail Olpak, President of the Foreign Economic Relations Board (DEIK), noted that 2024 was a challenging year due to both the disinflation process and risks in the global economic outlook. He stated, “After starting the year with 5.4% growth in the first quarter, our growth slowed to 2.4% in the second quarter and 2.2% in the third quarter.”
Olpak pointed out that they had been closely monitoring the negative growth in industrial production and expressed satisfaction that the last quarter saw a return to 3% growth, with industrial production shifting from negative to a 1.4% increase, contributing to an annual growth rate of 3.2%.
Highlighting the positive contribution of all sectors to growth, Olpak added:
“In terms of demand, household consumption grew by 3.9%, leading growth, but it has declined from 7.3% at the beginning of the year. Investments rebounding to 6.1% after near-zero growth in the second and third quarters is significant. On the other hand, the fact that exports negatively contributed to growth in the last quarter is another critical point to monitor. In 2025, both the protectionist policies implemented by the US and geopolitical risks will be important factors. As DEIK, we will continue our trade diplomacy efforts with great determination to increase our exports and international investments.”
ITO President Sekib Avdagic: Data is Crucial for a Year Dedicated to Financial Stability and Inflation Control
Sekib Avdagic, President of the Istanbul Chamber of Commerce (ITO), emphasized that Türkiye’s 3.2% growth in 2024 is a significant and valuable rate for a year dedicated to financial stability and inflation control.
Avdagic noted that the data provides insights into the future and that the resurgence of investment growth in the last quarter is promising.
Stating that domestic consumption contributed 2.4 percentage points to growth in 2024, Avdagic elaborated:
“To both increase our national income and achieve permanently low inflation, growth must be driven by net exports and investment. By shifting our growth composition toward an export- and investment-driven structure, we will achieve sustainable prosperity. When we analyze the fourth-quarter data separately, it is important to extract constructive conclusions from the negative impact of exports and the positive impact of imports. In the last quarter, net exports contributed negatively to growth by 0.8 percentage points. Our annual foreign trade data also shows a decrease in the import of intermediate and capital goods, while consumption goods imports are on an upward trend. We believe that we will take swift steps to reverse this trend.”
Avdagic also pointed out that Türkiye could gain an advantage from the current global trade turmoil caused by US tariff measures, stating:
“We must first protect and then enhance our competitiveness. We must take these steps immediately rather than waiting. Therefore, as the business world, we believe that fiscal policies should be implemented in the fight against inflation, and a balance should be established in financing and exchange rates to support our exports.”
TIM President Mustafa Gultepe: The Healthiest Growth Comes from Production and Exports
Mustafa Gultepe, President of the Turkish Exporters Assembly (TIM), stated that Türkiye’s 3.2% growth in 2024 demonstrated economic resilience despite global uncertainties, slightly exceeding international expectations.
Gultepe emphasized that Türkiye aims to be among the top 10 global economies in both exports and overall economic performance, making consistent growth a necessity.
Highlighting that household consumption increased by 3.7% in 2024 and domestic demand remained strong, he pointed out that exports contributed 1.1 percentage points positively to growth.
“We had become accustomed to exports being the main driver of growth, which made us very happy because the healthiest growth comes from production and exports. However, in the last quarter, net exports contributed negatively to growth, signaling fluctuations in global demand and a decline in competitiveness. Despite a strong investment appetite among industrialists, weakening external demand and a loss of competitiveness negatively impacted exports. We must carefully analyze this situation. In 2024, our exports faced a test of competitiveness. If we can overcome this challenge, exports will continue to drive growth in the coming period.”
MUSIAD President Mahmut Asmali: We Have Achieved Positive Growth for 18 Consecutive Quarters
Mahmut Asmali, President of the Independent Industrialists and Businessmen’s Association (MUSIAD), described 2024 as a challenging test for the national economy.
“Despite this difficult period, the fact that Türkiye’s economy remained on a positive growth path and achieved 3.2% growth is commendable. Moreover, our national economy recorded 3% growth in the last quarter, marking 18 consecutive quarters of positive growth.”
ONSIAD: Türkiye Surpassed Many Countries with This Growth Rate
Ekrem Kap, President of the Association of Leading Industrialists and Businessmen (ONSIAD), acknowledged that 2024 was a difficult year for everyone. However, he emphasized that Türkiye’s 3.2% growth, despite global challenges and domestic disinflation efforts, was a positive development.
“Türkiye’s economy has faced significant challenges, including global economic downturns, ongoing conflicts in neighboring countries, and domestic events such as elections and earthquakes. Despite these obstacles, our growth performance is remarkable.”
Kap stressed that the disinflation program and tightening policies over the past 1.5 years have slightly slowed growth. However, determining the right timing for relaxing these policies is crucial.
ASKON President Orhan Aydin: Growth in All Industrial Sectors in the Last Quarter is Encouraging
Orhan Aydin, President of the Anatolian Lions Businessmen Association (ASKON), highlighted that Türkiye, along with Spain, was one of the two fastest-growing OECD economies in 2024, even as economies like Germany and Austria contracted.
“The increase in all industrial sectors in the last quarter, along with reduced external financing needs, rising reserves, and economic stability, is the result of sound policies. Structural reforms must continue to secure these gains.”
ISTIB President Ali Kopuz: Agricultural Sector Growing Above the National Average is Promising
Ali Kopuz, President of the Istanbul Commodity Exchange (ISTIB), described the 3.2% growth rate as valuable amid deepening global economic uncertainties.
“Beyond this, it is promising that our agricultural sector achieved 3.9% growth, surpassing the national average. If we can break inflation inertia, we will see a shift from fixed-income instruments to direct investments and employment, leading to stronger growth.”
Kopuz stressed that increasing domestic production capacity, ensuring food security, and strengthening the integration of industrial production with agriculture are strategic necessities for 2025 and beyond.
Source: Patronlar Dünyası/ Prepared by: İlayda Gök