Türkiye has announced a proposed budget of approximately 27.28 trillion Turkish lira ($550.8 billion) for the year 2027, focusing on fostering economic growth and improving housing infrastructure. Vice President Cevdet Yılmaz highlighted the budget’s aim to bolster the country’s economic resilience, enhance investment, and uplift living standards amid ongoing global economic challenges. The proposal is set to be presented to Parliament for approval.
The government projects Türkiye’s economy to grow by 4.2% in 2027, up from an anticipated growth rate of 3.3% in 2026. By 2029, growth is expected to further accelerate to 5%, driven by productivity enhancements, technological advancements, and increased investment. Employment is forecasted to rise by 657,000 jobs in 2027, with the unemployment rate expected to drop to 8%.
Addressing inflation is a key priority, with the government aiming to reduce the annual rate to 21% by the end of 2027, compared to a projected 28.4% at the close of 2026. Yılmaz emphasized the importance of price stability, citing initiatives such as social housing and food supply improvements to alleviate inflationary pressures.
The budget also anticipates a deficit equivalent to 3.5% of gross domestic product (GDP) in 2027, while maintaining a primary budget surplus. Efforts to shrink the current account deficit to below 2% of GDP next year are underway, focusing on bolstering exports and reducing reliance on imported energy.
In addition to these economic measures, the government plans to enhance energy security and promote sustainable economic development through strategic investments and structural reforms. These initiatives are designed to support Türkiye’s long-term economic stability and growth.