Turkey’s economy grew 2.3% year-on-year in the second quarter of 2026, below the 2.9% forecast and marking a fourth consecutive quarterly slowdown. Gross domestic product increased 1.1% from the previous quarter on a seasonally and calendar-adjusted basis. Agriculture, forestry and fishing expanded 13.3% while information and communication grew 8.6%. Domestic demand contracted 1.3% quarter-on-quarter as disinflation takes hold. The central bank held its key policy rate at 37% for the fourth consecutive meeting. Finance Minister Şimşek described the results as balanced growth, noting tailwinds from disinflation progress and global conditions for gradual acceleration. Full-year 2025 growth was revised to 3.7% from 3.6% and first-quarter 2026 growth to 2.6% from 2.5%. The government’s current medium-term programme projects 3.8% growth for 2026, with a new programme due on September 7 and full-year 2026 growth projected at 3.05%.