Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

UPDATE 2-Turk industrial output tumbles, jobless climb

Published 12/05/2008, 08:13 AM
Updated 12/05/2008, 08:15 AM

(Adds jobless claims data)

ISTANBUL, Dec 5 (Reuters) - Turkish industrial production fell a larger-than-expected 8.5 percent year-on-year in October while capacity utilisation also tumbled, official data showed on Friday, confirming a sharp economic slowdown.

Turkey's economy has grown some 7 percent annually since a 2001 financial crisis but activity has slumped due to a slide in domestic and foreign demand as the global financial crisis takes its toll on the emerging market economy.

The 8.5 percent fall in industrial production, announced by the Turkish Statistics Institute, exceeded a 7.5 percent median forecast in a Reuters poll. In September, industrial output had fallen 5.5 percent - the worst performance since December 2001.

The Turkish government is currently working on a loan accord with the International Monetary Fund to underpin the economy and replace a $10 billion stand-by accord which expired in May.

It has also announced a series of measures designed to ease access to credit and boost economic activity. Turkish financial markets have been battered by the global crisis.

Adding to a series of negative economic indicators, the number of jobless claims soared 146.9 percent in November from a year earlier to 139,233, Turkish Unemployment Agency data showed.

Turkey's economy has sharply slowed down and many factories have shut down or made workers redundant as consumers become increasingly frugal and exports dip.

The data showed that 69.1 percent of the new jobseekers were male and more than one third between 15-24 ages.

The manufacturing sector shrank 10.3 percent year-on-year in October, the mining sector grew 15.4 percent while utilities shrank 1.5 percent.

The statistics institute also announced on Friday that capacity utilisation fell 9.7 percentage points year-on-year in November to 72.9 percent.

Capacity utilisation, a leading indicator of manufacturing industry and economic growth, had stood at 76.7 percent in October. (Reporting by Daren Butler; Editing by Ron Askew)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.