Industry Warning from Mahfi Eğilmez: Share in GDP Dropped to 17.1 Percent

In evaluations made during a broadcast, economist Mahfi Eğilmez stated that the share of the industrial sector in GDP has dropped from levels of 22-23 percent to 17.1 percent, and that this is not a temporary situation.

Economist Mahfi Eğilmez evaluated the current state of the industrial sector in the Turkish economy during his appearance on the CNBC-e broadcast. Emphasizing that the share of industry in Gross Domestic Product (GDP) has fallen from past levels of 22-23 percent to 17.1 percent, Eğilmez stated that this picture carries permanent risks.

Stating that the implemented disinflation program creates pressure on industry, Eğilmez noted that high interest rates and difficulties in accessing financing restrict companies' investment decisions. Expressing that investments over the past year and a half have largely remained limited to maintenance, repair, and upkeep expenditures while new capacity-increasing investments have been quite weak, Eğilmez conveyed that production has become the most fragile area of the economy and that he does not expect a strong recovery for the remainder of the year.