Turkey's economic growth slows to 1.6 %

Turkey's gross domestic product (GDP) growth slowed down to 1.6 percent in the third quarter this year compared to the same period of 2011, according to data released by the Turkish Statistical Institute (TurkStat) on Monday. This rate is far below the market expectation of 2.6 percent, TurkStat said. According to the statistical authority, Turkey's economic growth was revised to 3.4 percent in the first quarter and 3 percent in the second quarter, and the government expects a 3.2- percent growth by the end of this year. Turkey's industrial production index saw a 5.7-percent year-on- year decline in the third quarter of this year, with production in the mining sector decreasing by 3.9 percent and in the manufacturing sector by 5.9 percent, while electricity and natural gas production and distribution shrinking by 5.1 percent. Turkish Economy Minister Mehmet Zafer Caglayan said Monday in a written statement that the Turkish economy grew in the third quarter of 2012 thanks to net exports. Had net exports not made contributions, Turkish economy would have shrank 1.8 percent instead of growing 1.6 percent in the third quarter of 2012, Caglayan said.