Turkey’s economic confidence dips in July

Economic confidence in Turkey fell in July, according to official figures.

The economic confidence index fell to 80.7 from 83.4 in June, the Turkish Statistical Institute said on its website on Tuesday. Any reading below 100 indicates pessimism about the future among businesses and consumers.

July’s result was the lowest since February and compared with a reading of 95.1 for July last year, the data showed.

Turkey’s government is seeking to stimulate the economy through tax cuts, lower interest rates and by improving access to credit. The central bank slashed its benchmark rate by 425 basis points to 19.75 percent last week after President Recep Tayyip Erdoğan sacked and replaced its chief earlier in July for refusing to lower borrowing costs.

July’s economic confidence was weighed down by worsening sentiment among manufacturers and retailers, the figures showed. Confidence in the construction sector rose.