Recent official data has revealed new challenges facing the Turkish economy at the start of this year. Turkish Trade Minister Ömer Polat announced today that Turkey's trade deficit widened by 11.2% year-on-year in January, reaching $8.4 billion, reflecting continued pressure on the country's balance of payments.
Details of export and import activity
According to preliminary trade data reviewed by the ministry, foreign trade activity showed significant fluctuations. Turkish imports remained relatively stable compared to the same period last year, registering $28.7 billion. In contrast, exports declined by 3.9% to settle at $20.3 billion, directly contributing to the widening trade deficit.
Annual economic outlook and statistical data
In a related context, and considering the broader picture of trade performance, previous data from the Turkish Statistical Institute showed that Turkey's overall foreign trade deficit increased by 11.9% in 2025, reaching a record high of $92.01 billion. This data indicated that total annual exports rose by 4.4% to $273.36 billion, while imports increased by 6.2% to $365.37 billion.
Compared to December's performance
Looking back at the end of last year, data indicated that the foreign trade deficit widened by 5.6% year-on-year in December, reaching $9.3 billion. Exports rose by 12.7% to $26.37 billion, while imports increased by 10.7% to $35.67 billion.
Economic importance and impact of the trade deficit
The trade balance is a vital indicator of the health of the Turkish economy, as a widening deficit directly impacts foreign currency reserves and the exchange rate of the Turkish lira. The Turkish government, as part of its economic program, aims to boost exports to reduce this gap. However, recent data points to challenges stemming from slowing external demand or rising import costs, particularly in the energy and raw materials sectors. Investors and international financial institutions are closely monitoring these figures, as reducing the trade deficit is considered essential for controlling inflation and achieving sustainable financial stability in Türkiye.
