Turkey’s economic confidence rebounds in February

ANKARA - Anadolu Agency

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Confidence in Turkey’s economy rebounded in February after a two-month dip, the Turkish Statistical Institute (TÜİK) reported on Feb. 27.

The Economic Confidence Index surged 6.8 percent to 91.5 in February compared to last month, TÜİK said in a statement.        

This increase in the economic confidence index stemmed from the increases in services, the real sector, construction, and retail trade confidence indices, according to TÜİK data.         

“The recovery in the economic confidence index in February is the reflection of incentives and measurements taken by the government, especially in the retail and construction sectors,” said Deniz Çiçek, an economist from QNBFinansBank        

The sub-index for the real sector climbed 6 percent to 106.5 in February, while services also surged 6.1 percent to 92.9. The retail trade confidence and construction confidence indices both rose 2.1 percent to 97.9 percent and 76.4 percent respectively in the same period.        

“The increase in real sector confidence shows us the recovery in exports to higher levels,” Çiçek said.    
   
Muammer Kömürcüoğlu, an economist from İş Investment, took a similar tone to Cicek, adding that PMI data, expected to be announced soon, would be important for a clearer view in the month’s data.    
    
However, the sub-index tracking consumer confidence fell month-on-month 1.6 percent during the month to 65.7.        

The index slipped last December and in January by 3.9 percent and 18.5 percent respectively.  
     
The economic confidence index indicates an optimistic outlook about the general economic situation when economic confidence index is above 100, whereas it indicates a pessimistic outlook when it is below 100.