EBRD Raises Growth Forecasts for Turkish Economy

European Bank for Reconstruction and Development (EBRD) revised its growth forecasts for the Turkish economy in its Regional Economic Outlook report. According to the bank's announcement, the Turkish economy is expected to grow by 3.1 percent this year, while this rate has been raised to 3.5 percent for 2026.

Compared to the previous forecasts of the EBRD, the growth expectation for 2023 has been increased by 0.3 points, while the growth expectation for 2026 has been increased by 0.7 points. This favorable revision is driven by the easing of geopolitical tensions in Syria and the Caucasus. In addition, improved cooperation between the European Union and Turkey, and positive trends in the construction, logistics and defense industries are also cited as factors supporting growth.

In addition, the report emphasized that tightening global financing conditions and volatile risk perceptions still pose significant risks for Turkey. Given these risks, the EBRD does not discount the challenges facing the Turkish economy. However, the overall outlook signals positive signs of Turkey's economic dynamism.

Turkey's improved growth prospects are being felt not only at the country level but also at the regional level. The EBRD's comprehensive analysis reveals the strength and resilience of the Turkish economy and identifies areas of potential future growth. In particular, developments in the construction and logistics sectors have increased international investor interest in Turkey.