section_path: Economy
section_name: Economy
paragraph_text: Economy
  
  Turkey is an upper-middle -income country and an emerging market. A founding member of the OECD and G20, it has the 16th-largest economy by nominal and 12th-largest by PPP -adjusted GDP in the world. It is classified among newly industrialized countries. The service sector accounts for 61% of the economy, whereas industry accounts for 32% and agriculture contributes about 7%. According to IMF estimates, Turkey's GDP per capita by PPP is $42,451 in 2025, while its nominal GDP per capita is $16,709. Foreign direct investment in Turkey peaked at $22.05 billion in 2007 and dropped to $13.09 billion in 2022. Potential growth is weakened by long-lasting structural and macro obstacles, such as slow rates of productivity growth and high inflation.
  
  Turkey has a diversified economy; main industries include automobiles, electronics, textiles, construction, steel, mining, and food processing. Machinery and manufacturing lead among products in Turkey's merchandise exports. Turkey is a major agricultural producer. It ranks 8th in crude steel production, and 13th in motor vehicle production, ship building (by tonnage), and annual industrial robot installation in the world. Turkish automative companies include TEMSA, Otokar, BMC and Togg. Togg is the first all-electric vehicle company of Turkey. Arçelik, Vestel, and Beko are major manufacturers of consumer electronics. Arçelik is one of the largest producers of household goods in the world. In 2022, Turkey ranked second in the world in terms of the number of international contractors in the top 250 list. It is also the fifth largest in the world in terms of textile exports.
  
  Turkey's services exports are mostly transport and tourism. Tourism accounts for about 8% of Turkey's GDP. In 2024, Turkey ranked fourth in the world in the number of international tourist arrivals with 60.6 million foreign tourists. Turkey has 21 UNESCO World Heritage Sites and 84 World Heritage Sites in tentative list. Turkey is home to 519 Blue Flag beaches, third most in the world. In 2024, Euromonitor International ranked Istanbul and Antalya among the top ten most visited cities in the world. Turkish Airlines is one of the largest airlines in the world.
  
  Between 2007 and 2021, the share of population below the PPP-$6.85 per day international poverty threshold declined from 20% to 7.6%. In 2023, 13.9% of the population was below the national at-risk-of-poverty rate. In 2021, 34% of the population were at risk of poverty or social exclusion, using Eurostat definition. Unemployment in Turkey was 10.4% in 2022. In 2021, it was estimated that 47% of total disposable income was received by the top 20% of income earners, while the lowest 20% received only 6%. Compared to the OECD average, labor force participation of women is lower. Affordable childcare and better parental leave policies are needed to lift women's employment.