Turkish industrial production growth slows sharply

Turkey’s industrial production grew an annual 1.7 percent in August, the slowest expansion since a failed military coup two years ago.

Mining and quarrying output increased by 6.1 percent, while manufacturing expanded 1.2 percent, according to calendar-adjusted data provided by the Turkish Statistical Institute on Tuesday. Production of power rose 2.9 percent, it said.

Production had grown an annual 5.6 percent in July.

The Turkish economy is heading for a possible recession after the lira slumped almost 40 percent against the dollar this year. The currency’s freefall has spurred inflation – it now stands at almost 25 percent – and has led to a surge in interest rates, curbing demand for goods and the loans to purchase them.

Seasonally and calendar-adjusted monthly production contracted 1.1 percent in August compared with July, the institute said. Manufacturing contracted 1.5 percent, it said.

Turkey industrial production