Turkey economic confidence falls the most in a decade

ANKARA

Confidence in Turkey’s economy marked its biggest ebb in a decade in September with a 15.4 percent slump; official data showed on Sept. 27, reinforcing concerns about a sharp slowdown.

According to data from the Turkish Statistical Institute (TÜİK), the economic confidence index dropped to 71 points in September from 83.9 points a month earlier, marking its biggest drop since late 2008 and its lowest level since March 2009.

The index indicates an optimistic economic outlook when above 100 and a pessimistic one when below 100.

Data showed that all sub-indexes contributed negatively to the month-on-month decrease in the main reading.     

"This decrease in economic confidence index stemmed from the decreases in consumer, real sector, services, retail trade and construction confidence indices," the report said.     

The construction confidence index saw a slide of 16.7 percent on a monthly basis to 57.3 in September.     

Consumer and services confidence indices followed with 13.2 and 9.7 percent declines, respectively.     

Confidence in real sector and retail trade sectors went down 6.1 percent and 5.2 percent, respectively.     

Turkey slashed its growth forecasts for this year and next last week.

The lira currency has plunged by nearly 40 percent this year over various concerns.