Turkey’s Consumer Confidence Rebounds in February

The Bloomberg HT Consumer Confidence Index rose by 6.27% in February compared to the previous month, reaching 77.10, marking a recovery after the January decline

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Key Drivers of the Increase

Despite a weaker perception of the Turkish economy, consumer expectations for the next 12 months and overall consumption tendencies have improved. The primary factor boosting the index is the revival in spending, as lower interest rates continue to support domestic demand despite persistent inflationary pressures.

• The Bloomberg HT Consumer Expectations Index rose 6.65% to 76.03, reflecting optimism for the near-term economic outlook.
• The Bloomberg HT Consumption Tendency Index, which measures the suitability of the period for purchasing durable goods, automobiles, and housing, increased significantly by 13.37% to 76.22.

Outlook: Domestic Demand to Remain Resilient

These figures indicate that January’s decline in domestic demand was temporary, with consumer sentiment bouncing back due to easing interest rates. The data suggest that spending momentum will likely continue, supporting economic activity in the coming months.