ASSIGNMENT NO: 1

BATCH:2010 – 2012 SECTION:E GROUP:7 COUNTRY:TURKEY

Industry: Construction Sector

Group Members:

SERIAL NO. NAME ROLL

1 SANKHA DIP DATTA 2010207
2 SAYANTANI SAHA 2010211
3 SUMIR JOSAN 2010234
4 SUMITA DAS 2010267
5 DEVYANI JINTURKAR 2010282

No. of Words:

INTRODUCTION

The economy of Turkey is largely developed. The country is among the world's leading
producers of agricultural products; textiles; motor vehicles, ships and other transportation
equipment; construction materials; consumer electronics and home appliances. In recent
years, Turkey had a rapidly growing private sector, yet the state still plays a major role in
industry, banking, transport, and communications.

STRUCTURE

Turkey's dynamic economy is a complex mix of modern industry and commerce along with a
traditional agriculture sector that still accounts for about 30% of employment. It has a strong
and rapidly growing private sector, yet the state remains a major participant in basic industry,
banking, transport, and communication. The largest industrial sector is textiles and clothing,
which accounts for one-third of industrial employment; it faces stiff competition in
international markets with the end of the global quota system. However, other sectors,
notably the automotive and electronics industries, are rising in importance within Turkey's
export mix.

BROAD FACTS AND FINDINGS

UNEMPLOYMENT FACTORS
Turkey's unemployment rate at the end of recession-battered 2009 was a record 14.028 %,
according to the national statistics agency
reports. Apparently the age groups that
accounts for the largest proportion of the
workforce also represent the largest
percentage of unemployed, i.e. those aged
from 20 to 34 years represent over 60%
of the unemployed in Turkey.

Unemployment is more acute among recent university graduates than among members of
other age segments and the less educated. This is due to a combination of factors, including
many of them lacking the "soft skills" necessary in the modern job market. This is because
there may not be enough professional jobs or their education has not prepared them with the
skills they need to do well in today's job market. However, university graduates usually come
from families that have enough money to support them until they find work.

INFLATION

The inflation rate in Turkey accounted for

6.4 percent in December of 2010. From
the year 1965 until 2010, the average
inflation rate in Turkey reported to 39.78
percent reaching an historical high of
138.71 percent in May of 1980 and a
record low of -4.01 percent in June of
1968.
 GROWTH

Turkey is a rapidly developing country and the largest national economy in Central and
Eastern Europe. The Gross Domestic Product
(GDP) in Turkey expanded 1.10 percent in
the third quarter of 2010 over the previous
quarter. From 1998 until 2010, Turkey's
average quarterly GDP Growth was 0.89
percent reaching an historical high of 6.69
percent in June of 2009 and a record low of
-7.57 percent in March of 2009 Turkey's
dynamic economy is a complex mix of
modern industry and commerce along with a traditional agriculture sector that still accounts
for about 30% of employment. It has a strong and rapidly growing private sector, yet the state
remains a major participant in basic industry, banking, transport, and communication.

CONCLUSION
Turkey’s business growth has been hampered by administrative inefficiency, corruption,
judiciary delays and labour market restrictions. On the other hand, the banking sector is a lot
stronger in 2009-10 than in 2000-2001. Banking reforms under the World Bank and IMF
have resulted in better regulation and supervision of the sector. The sharp depreciation of
25% of the TRY against the major countries had a significant impact on the company’s
economic structure and fiscal policies. Importing firms suffered from higher import prices
and insolvency risk also increased subsequently.
 REFERENCES
http://www.mynewsdesk.com/uk/view/pressrelease/research-and-markets-turkey-
petrochemicals-report-q4-2010-private-consumption-will-spur-real-gdp-growth-of-6-3-in-
2010-up-from-4-7-forecast-in-475315

http://www.economywatch.com/world_economy/turkey/structure-of-economy.html

http://countrystudies.us/turkey/53.htm

http://www.indexmundi.com/turkey/economy_profile.html

http://www.theodora.com/wfbcurrent/turkey/turkey_economy.html

http://en.wikipedia.org/wiki/Economy_of_Turkey