Turkey Construction Industry Report 2023: Output Grew by 5.1% in 2023 Due to Re-Building of Infrastructure After an Earthquake in February – Forecasts to 2027 – ResearchAndMarkets.com
DUBLIN–(BUSINESS WIRE)–The “Turkey Construction Market Size, Trends, and Forecasts by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market France, 2023-2027” report has been added to ResearchAndMarkets.com’s offering.
The publisher estimates that the Turkish construction industry grew by 5.1% in 2023, owing to the reconstruction of building and infrastructure that damaged by the earthquake in February 2023 coupled with the rising building permits.
According to Turkish Statistical Institute (TurkStat), the total floor area of permits issued for the construction of buildings rose by YoY 16.5% in the first three quarters of 2023, preceded by an annual declined by 3.7% in 2022. In March 2023, the European Bank for Reconstruction and Development (EBRD), announced an investment of TRY35 billion ($1.7 billion) to repair water, electricity and other infrastructure facilities in country by 2024.
However, the Turkish construction industry’s growth is expected to decelerate to 1.6% in real terms in 2024, owing to primarily subdued investor and consumer confidence amid rise in overall construction costs, rising interest rates and rising inflation. According to TurkStat, the average construction cost index rose by 62.1% year on year (YoY) in the first nine months of 2023, driven by 108.7% increase in the cost of materials and 48.7% increase in the cost of labor.
Assuming greater macroeconomic stability in 2025, the construction industry is expected to register an annual average growth rate of 3.6% between 2025 and 2027, supported by investment in transportation and energy projects. As part of Turkish government’s “Transportation and Logistics Master Plan”, which was announced in 2022, the government plans to invest TRY4.6 trillion ($198 billion) to develop the road and rail infrastructure by 2053.
Under this plan, the government aims to expand the railway network from 13,022km in 2021 to 28,590km by 2053. The government also aims to reduce greenhouse gas emissions by 21%, by 2030. To support this target, it is focusing on increasing the capacity of renewable energy across the country.
In August 2023, the European Bank for Reconstruction and Development (EBRD) announced that it would provide a loan worth TRY2.5 billion ($107.2 million) to Turkey’s ‘Yapi Kredi Bank to support businesses and individuals impacted by the earthquakes and contribute to relief and reconstruction efforts.
Scope
- Historical (2018-2022) and forecast (2023-2027) valuations of the construction industry in Turkey, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using the standardized valuation and forecasting methodologies.
- Assess market growth potential at a micro-level with over 600 time-series data forecasts.
- Understand the latest industry and market trends.
- Formulate and validate strategy using the critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
3.1 Economic Performance
3.2 Political Environment and Policy
3.3 Demographics
3.4 Risk Profile
4 Construction Outlook
4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
5 Key Industry Participants
5.1 Contractors
5.2 Consultants
6 Construction Market Data
7 Appendix
For more information about this report visit https://www.researchandmarkets.com/r/h121q4
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