Industrial output signals economic growth

As shown by the official data revealed on Monday, the month of July saw an industrial production increase by 4.6 percent over the same month a year ago, signaling a better economic growth for Turkey in the long term. According to Turkish Statistical Institute (TUIK) data, Turkey's calendar-adjusted industrial production index soared by 4.6 percent in July compared to the same period last year and by 0.9 percent compared to the previous month. Evaluating the recent developments, economists have reported that the recovery in capital and intermediate goods' manufacturing is highly positive for investments. "The ongoing growth in industrial output since May 2013 despite the uncertainties in global economy is noteworthy. July's growth in output will have a positive impact on all the related sub-sectors. Investment expenditures, which were postponed last year, have recently started, showing both the increase in production capacity and economic growth," Science, Industry and Technology Minister Nihat Ergun stated. Keeping his year-end growth forecast at slightly above 3 percent, Turkish Economy Minister Zafer Caglayan stated for his part as follows: "If this data, which looks better than expected, persists in August and September as well, we will see slightly a better third-quarter growth." Meanwhile, mining and quarrying industry index decreased by 2.3 percent, whereas the manufacturing industry index increased by 6.2 percent, compared with the same month last year.