ISTANBUL: Turkey fell into its first recession in a decade, dealing a blow to President Recep Tayyip Erdogan as the country heads toward bellwether municipal elections this month.
Gross domestic product (GDP) shrank 2.4% last quarter on a seasonally adjusted basis from the previous three months, when it declined a revised 1.6%, according to data released yesterday. From a year earlier, GDP dropped 3%. Economists surveyed by Bloomberg predicted a 2.4% quarterly decrease and a contraction of an annual 2.5%, according to the median forecasts compiled by Bloomberg.