OECD announces 2026 and 2027 growth forecasts for the Turkish economy
In its latest report, the Organisation for Economic Co-operation and Development projected that the Turkish economy will grow by 2.7 percent this year and by 3.6 percent in 2027.
The Organisation for Economic Co-operation and Development shared updated growth forecasts for the Turkish and global economies in its interim Economic Outlook report published under the title "Coping with Consecutive Shocks".
Turkish Economy Growth Expectations
The Organisation for Economic Co-operation and Development estimated that the Turkish economy, which grew by 3.7 percent in 2025, will grow by 2.7 percent this year and by 3.6 percent in 2027. These figures showed that the institution's previous June forecasts were revised downward by 0.4 points for 2026 and 0.2 points for 2027. Despite increases in energy and fertilizer prices, it was projected that the disinflation process in the country will continue.
Turkey Inflation and Monetary Policy
In the published report, it was estimated that inflation in Turkey will realize at 31.5 percent this year. The institution expects the inflation rate to drop to 24.7 percent for 2027. Along with the continuation of the disinflation process, easing in monetary policy in some developing countries such as Turkey and Brazil is expected to support economic growth.
Global Economic Outlook and Risks
In its interim report, the OECD projected that global economic growth will be 2.9 percent this year. The global economy's growth rate for 2025 was included in the report as 3.4 percent. Geopolitical risks in the Middle East, changes in trade policies, energy prices, and extreme weather conditions were listed among the main factors continuing to create uncertainty over the global economic outlook.
Artificial Intelligence and Latest Status in Interest Rates
Strong developments in the field of artificial intelligence were among the factors supporting investment, production, and trade. On the other hand, driven by concerns over long-term fiscal risks and heavy bond issuance by artificial intelligence companies, long-term interest rates in many economies reached their highest levels in at least 15 years. Inflation is projected to accelerate globally in the short term but slow down in 2027.
Growth Forecasts by Country
According to the data shared by the institution, growth in the US is expected to be 2.2 percent this year and 2.1 percent in 2027. In the Euro Area, these rates are projected to remain at 1 percent in both years, while in China they are expected to be 4.5 and 4.2 percent, respectively. India is projected to reach the highest growth rate at 7.8 percent, while Saudi Arabia is estimated to experience the largest contraction at minus 1.8 percent.