ECONOMY OF TÜRKİYE

Türkiye, with its strategic location, dynamic workforce, and strong production capacity, stands out as a rapidly developing G20 member and a significant economic actor both regionally and globally, thanks to its adaptability to innovation.

Benefiting from its position at the crossroads of three continents, Türkiye offers direct access to markets in Europe, the Middle East, Central Asia, and Africa. From Türkiye, a four-hour flight radius reaches 67 countries, with a total population of approximately 1.5 billion, a GDP of 51.2 trillion USD, imports worth 12.1 trillion USD, and exports of 13 trillion USD.

This strategic location, supported by infrastructure projects such as Istanbul Airport, Marmaray, and the 1915 Çanakkale Bridge, positions Türkiye as a central hub for global supply chains.

Türkiye possesses world-class production capabilities in sectors such as automotive, textiles, machinery, white goods, defense industry, construction materials, chemical products, and food. This diversification reduces dependency and enhances its resilience against external shocks.

Türkiye has also made major strides in its defense industry. Unmanned aerial vehicles (UAVs/UCAVs) like Bayraktar TB2 and Akıncı have enabled Türkiye to emerge as an exporter of high technology. As of 2024, defense industry exports exceeded 7.1 billion USD. This figure is expected to reach 8.5 billion USD in 2025.

Türkiye is increasingly focusing on high-value services and digital transformation. Istanbul is on its way to becoming one of Europe’s leading fintech and e-commerce hubs. In 2024, the number of “unicorn” startups valued over 1 billion USD reached six.

Türkiye is also transforming from an energy-importing country to an energy-producing and energy corridor country. The discovery of natural gas reserves in the Black Sea has marked a strategic turning point in reducing energy dependence. Thanks to investments in solar and wind energy, as of 2025, more than 60% of total installed electricity capacity is sourced from renewables. Türkiye ranks 5th in Europe and 11th globally in terms of renewable energy share in its installed capacity.

One of Türkiye’s greatest assets is its innovative, educated, and productive young population. Each year, approximately one million young individuals join the labor force.

The dynamic and entrepreneurial private sector plays a vital role in supporting the Turkish economy. With its adaptability, eagerness to embrace new technologies, and strong growth drive, the private sector makes significant contributions to investment and employment.

Despite global challenges such as the pandemic, recessions, wars, and financial volatility, Türkiye has preserved its competitiveness, increased its production capacity, and remained committed to improving its investment climate. This resilient structure has enabled Türkiye to become an economy that effectively manages risks and seizing opportunities.

Today, Türkiye is a producing, exporting, and adaptive economy. In 2025 and beyond, Türkiye aims to solidify its role as one of the leading economic centers of Eurasia by advancing in green transformation, digitalization, and global integration.

Key Facts on Türkiye’s Economy:

• As of 2024, Türkiye is the world’s 17th and Europe’s 6th largest economy.

• In terms of Purchasing Power Parity (PPP), Türkiye ranks as the 11th largest economy globally and 5th in Europe.

• Türkiye’s average annual GDP growth between 2002–2024 is 5.3%.

• In 2024, GDP growth was 3.2%, ranking first among OECD countries together with Spain.

• Türkiye’s GDP rose from 238 billion USD in 2002 to 1.3 trillion USD in 2024.

• Per capita GDP in 2024 was 15,463 USD; in PPP terms, it reached 40,501 USD.

• IMF forecasts for 2025: GDP at 1.43 trillion USD; per capita GDP at 16,708 USD; PPP per capita GDP at 42,450 USD.

• Goods exports in 2024 reached 261.8 billion USD; services exports reached 115.2 billion USD.

• Export target for 2025: 390 billion USD.

• Türkiye’s global export share rose from 0.56% in 2002 to 1.08% in 2024.

• Türkiye attracted 273 billion USD in FDI between 2003–2024.

Economic and Trade Relations between Türkiye and Canada

Bilateral trade between Türkiye and Canada reached the level of 4 billion Canadian dollars in 2024, reflecting a 5% increase over the previous year. Considering the total economic size of both countries, there remains ample potential for further growth in bilateral trade.

The Joint Economic and Trade Committee (JETCO) mechanism was established in 2019, and the Agreement for the Prevention of Double Taxation has been in force since 2012.

Türkiye exports food products, steel, construction materials, machinery, ships, textiles, carpets, automotive parts, and pharmaceuticals to the Canadian market among others, highly preferred for their quality, diversity, and competitive pricing.

Canada mainly exports lentils, chickpeas, soybeans, optical instruments, aerospace components, and scrap steel to Türkiye.

Emerging sectors such as advanced manufacturing, healthcare and defense technologies are playing an increasingly prominent role in bilateral trade. High-value and technology-driven goods complement the traditional strengths of both countries and offer new opportunities for cooperation.

Turkish companies participate in Canada’s leading industry events such as CANSEC, the country’s only international defense industry fair, and the annual PDAC mining convention organized by the Prospectors & Developers Association of Canada.

The Foreign Economic Relations Board of Türkiye (DEİK) and its Türkiye–Canada Business Council organize visits to Canada and host incoming Canadian trade delegations in Türkiye.

Investment Opportunities in Türkiye

Türkiye offers foreign investors a broad range of opportunities with its strategic location, large domestic market, young and skilled labor force, and strong infrastructure.

Key sectors attracting foreign direct investment include:
• Renewable energy

• Technology and startups

• Manufacturing (automotive, machinery, chemicals)

• Defense and aerospace

• Tourism and health tourism

• Agribusiness and food processing

For more information, the report “Top Reasons to Invest in Türkiye” prepared by the Investment Office of the Presidency of Türkiye can be consulted:
https://www.invest.gov.tr/en/whyturkey/top-reasons-to-invest-in-turkey/

Tourism in Türkiye

Türkiye is one of the world’s leading tourism destinations, welcoming nearly 60 million international visitors annually. Its unique geography, rich cultural heritage, and historical depth offer a wide variety of tourism experiences.

In 2024, Türkiye hosted over 55 million tourists, generating more than 55 billion USD in tourism revenue. The 2025 target is 65 million visitors and 64 billion USD in tourism income.

From Cappadocia to Pamukkale, from Ephesus to Göbeklitepe, Türkiye’s natural and historical treasures are globally recognized. The country has 22 UNESCO World Heritage Sites—20 cultural and 2 mixed. Most recently, in 2025, the “Ancient City of Sardes and Lydian Tumuli of Bin Tepe” in Salihli, Manisa, was added to the UNESCO World Heritage List.

In 2024, the number of Canadian visitors to Türkiye surpassed 300,000, marking a record high.

Further information is available at Türkiye’s official tourism portal: https://www.goturkiye.com