Türkiye has announced a proposed budget of approximately 27.28 trillion Turkish lira ($550.8 billion) for 2027, focusing on enhancing economic growth and improving housing infrastructure. Vice President Cevdet Yılmaz emphasized that the budget is designed to bolster economic resilience in the face of challenging global conditions, with a clear focus on investment, living standards, and price stability.
The government expects the economy to grow by 4.2% in 2027, an increase from the projected 3.3% in 2026. The growth rate is anticipated to rise to 5% by 2029, driven by productivity improvements, technological innovation, and increased investment. To support these objectives, the budget highlights social housing and food supply initiatives as crucial measures to alleviate inflationary pressures.
Employment is projected to rise by 657,000 jobs in 2027, with the unemployment rate expected to decrease to 8%. The government aims to reduce annual inflation to 21% by the end of 2027, down from the projected 28.4% at the end of 2026. Price stability remains a central priority, according to Yılmaz, as the government seeks to balance growth and inflation control.
The proposed budget also forecasts a budget deficit of 3.5% of gross domestic product (GDP) in 2027 while maintaining a primary budget surplus. The current account deficit is expected to fall below 2% of GDP next year, as efforts continue to boost exports and reduce reliance on imported energy.
In addition to economic measures, the government plans to enhance energy security and support sustainable economic expansion through targeted investments and structural reforms. The proposal, ready for submission to Parliament, underscores the administration’s commitment to addressing critical economic challenges and advancing Türkiye’s long-term growth prospects.